360 ONE Asset has made its entry into the private equity secondaries market with the launch of a fund that has a base size of ₹4,000 crore, of which more than half has already been raised.
Already five investments have been closed providing visibility to 20-25 per cent of the portfolio, according to Sameer Nath, CIO and Head, Venture Capital and Private Equity at 360 ONE Asset.
Globally, the secondaries market is estimated at over $130 billion, while in India it is still at a very nascent stage. Secondary funds buy existing assets or stakes from primary PE investors.
Nath said the average ticket size of its investment would be in the range ₹150-250 crore. He added that the strategy for this would be to look at attractive entry points in order to make decent returns. There was a robust pipeline spanning secondary-led pre-IPOs, single and multi-asset secondary deals and special situations.
360 ONE Asset, which manages assets worth $8.7 billion, is part of the 360 ONE group that has over $56 billion of assets under management. It has over 100 portfolio companies of which 30 are unicorns. Last year, it launched its first multi-asset fund.
It aims to be present at all stages of funding from early and mid-stage, pre-IPO and late stage and now secondary fund. Bulk of its investments are in the pre-IPO and late stage private equity.
Besides the secondary fund, it also has a healthcare fund in the works. In this a second investment is about to close, while a third term sheet has been signed. An early-stage venture fund will be launched in a few months while a fourth pre-IPO fund is on the anvil.
Some of its pre-IPO stage investments are NSE, NSDL, while it also has stakes in ANAROCK, Pharmeasy and IPO-bound Swiggy and FirstCry.