Vision Global plans $200-million distressed debt fund

Vision Global Investments is looking at launching a $200 million distressed debt fund in the near future. The move comes at a time when a number of other funds in this space are active in India like Clearwater, ADM Capital, WL Ross and DE Shaw.

With the fall in markets and on the back of fears of a downturn in Asian economies, a host of funds are launching distressed funds targeting Asia. Most of the new distressed funds are targeting companies in China, India and Korea.

In case of India, some of them would be BIFR cases or where they have gone through the corporate debt restructuring (CDR) mechanisms. These funds normally takeover the debt from the banks and restructure it through a mix of debt and equity.

Vision Global had recently announced the launch of a $1billion India Infrastructure-focused fund called ‘Vision Global India Infrastructure Fund’. The fund would have its first close by May-end this year and is looking to raise $300 million in its first round. It is looking at investments of $25-75 million through this fund in verticals like roads, airport, ports, urban infrastructure and logistics in the infrastructure space. The fund is expected to provide an average 20-25% return on investment per annum.

Read more in The Economic Times article.