Mumbai Capital

Paragon Partners to invest in city construction company

Paragon Partners, a $200 million private equity fund floated by Siddharth Parekh to provide growth capital for mid-sized deals in India, has raised $50 million (Rs 340 crore) in commitments to mark the first close of the fund. Parekh, the younger son of Housing Development Finance Corp (HDFC) chairman Deepak Parekh, had floated the fund last year in partnership with Sumeet Nindrajog.

The firm also announced its first investment in Mumbai-based privately-held construction firm Capacite Infraprojects Ltd, where it has invested $10 million for an undisclosed minority stake.

Capacite is engaged in the construction of buildings (including super high-rise structures) and factories, for large real estate developers, corporates and institutions. The company has a footprint across Mumbai, NCR and Bengaluru and will look to grow this on a selective basis. Capacite is promoted by Rahul Katyal, Rohit Katyal and Subir Malhotra.

The firm is expected to reach a topline of Rs 1,000 crore in the current financial year, backed by a gross order book of Rs 5,400 crore.

Paragon Partners will focus on five key sectors: consumer discretionary, financial services, infrastructure services, industrials and healthcare services. The fund has an advanced pipeline of investment opportunities across these sectors.

Paragon Partners’ advisory board includes Deepak Parekh, Harsh Mariwala (chairman, Marico Ltd & founder member), Sunil Mehta, (chairman, SPM Capital Advisors Pvt Ltd) and Jeff Serota (ex senior partner at Ares Private Equity), among others.

Siddharth Parekh, co-founder, Paragon Partners, said, “We believe the next decade in India will see a strong resurgence of growth in key sectors such as manufacturing, financial services and infrastructure.”

The fund said it has seen significant interest from onshore and offshore institutions, family offices and high net worth individuals. “Domestic investors include India Infoline, Edelweiss Group and Infina Finance Private Limited (an associate of Kotak Mahindra Bank Limited).

The firm has invested

$10 million

in Capacite Infraprojects Ltd

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Printable version | Apr 20, 2021 4:51:53 AM |

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