2 UK funds to invest $150 m n unlisted firms

Even as the listed equity markets saw nearly Rs 1,100 crores go out in the last two days on interest rate worries, two UK-based firms, managing funds worth more than Rs 1 lakh crore, announced plans to pump in $150 million (Rs 675 crore) mainly unlisted companies in India.

Ashmore Investment Management and Alchemy Partners, managing assets worth Pound 24 billion between them, will target mid-sized companies for controlling stake.

"This is our first dedicated India fund, with money being raised from the current investors into both the funds," said Dominic Slade, spokesperson for the newly created 'Ashmore Alchemy', registered in Mauritius.

"We have already done basic spadework and will start announcing deals by autumn this year," he added.

The controlling partner in the joint venture, Ashmore Investment, is one of the world's largest private equity fund specialising in emerging markets and manages assets worth £ 20 billion and is majority ownership by its own employees.