Kotak Mahindra AMC deepens alternatives push with INR 2,000 crore private credit fund close

Nilesh Shah, Managing Director at Kotak Mahindra AMC, said growing demand for flexible capital solutions is reshaping India’s financing ecosystem as the fund deploys over half its corpus across sectors.

Kotak Mahindra Asset Management Company has completed the final close of its first private credit Alternative Investment Fund, drawing commitments of more than INR 2,000 crore as investor interest in alternative asset classes continues to grow.
The Kotak Credit Opportunities Fund saw participation from high net worth individuals, ultra high net worth individuals, family offices, corporate treasuries and institutional investors, indicating widening acceptance of private credit within India’s investment landscape.

The fund exceeded its original target, marking a significant milestone for Kotak Mahindra AMC’s alternatives business. The company said the response reflects investor confidence in its investment strategy and execution capabilities, while reinforcing interest in structured capital solutions aligned with India’s long-term growth opportunities.
Nilesh Shah, Managing Director, Kotak Mahindra AMC, said, “The successful close of our maiden private credit fund marks an important milestone for our alternatives platform. The strong investor response reflects confidence in our investment philosophy and execution capabilities. We believe private credit will play an increasingly important role in India’s financing ecosystem as demand for flexible capital solutions grows.”

More than 50 percent of the fund’s corpus has already been deployed across a range of sectors, with the remaining capital expected to be directed toward performing credit opportunities for established Indian businesses and promoters seeking tailored financing structures.
Sunit Garg, Chief Investment Officer, Private Credit at Kotak Mahindra AMC, said, “We are encouraged by the trust reposed in us by investors. Private credit is steadily emerging as a relevant complement to traditional financing, addressing the evolving capital needs of Indian businesses. With a focus on performing credit, our approach aims to combine downside protection with stable and predictable returns for investors.”

The Kotak Credit Opportunities Fund is a SEBI-registered Category II Alternative Investment Fund focused on structured credit for businesses with established operating track records. Kotak Mahindra AMC said the platform draws on its institutional network and sector expertise to identify investment opportunities linked to India’s growth trajectory.
Kotak Mahindra Asset Management Company is a wholly owned subsidiary of Kotak Mahindra Bank Limited and acts as investment manager for Category II and Category III Alternative Investment Funds.

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