IntelleGrow is a specialty debt financing company and is supported by Intellecap Group. And now, the company is looking to roll out a debt fund of Rs 200 Crore by the end of 2017.
The company, which functions as a Non-Banking Finance Company (NBFC), offers debt for operating capital requirements of premature-stage, medium and small enterprises with high risk, naturally, in the social impact market.
“We are seeking to organize a debt capital venture. IntelleGrow will be the sponsor and capital manager for the fund,” Akbar Khan, CEO of the company, said to the media in a statement. The capital, which will function as another venture below IntelleGrow, will operate as a category-II substitute investment capital unlike an NBFC firm.
An Alternate Investment Fund (AIF) is a semi-synchronized sponsor vehicle, which plans to pool in capitals for investment in the shape of business capital, hedge funds, private equity, real estate spending trusts, and others. The company is a division of Aavishkaar-Intellecap group and includes Omidyar Network, the Michael and Susan Dell Foundation, Triodos Bank, the fund manager DWM, and Shell Foundation among its other investors.
The company is not seeking to lift fund for the debt capital from current investors and has been in discussions with other domestic and global players comprising family offices, banks, and sovereign wealth capitals. As an NBFC, IntelleGrow provides SMEs and operating fund financing comprising warehouse-receipt financing, invoice discounting, purchase order financing, and others.
Via the fund, IntelleGrow is seeking to grow longer term loans to its users, explained Khan in an interview to the media. IntelleGrow naturally spends in the range of Rs 75 Lakh to Rs 10 Crore with a standard ticket size of Rs 2 Crore for companies.
“We are looking to increase the assets 2 times under management, not essentially by rising the number of contracts but rather by rising size of tickets,” claimed Khan. IntelleGrow ended the financial year 2016–2017 with almost Rs 315 Crores to Rs 320 Crores in assets underneath management and is seek to end financial year 2017–2018 with a minimum of Rs 640 Crores in assets underneath management.