Kotak Alternate Asset Managers Ltd (Kotak Alts) on Thursday announced that it has invested nearly $34.5 million (Rs 325 crore) in Gainwell Group to support the latter’s expansion plans across its manufacturing and mining businesses and refinance existing debt.
The investment has been made in Indocrest Transportation Pvt Ltd (ITPL), the holding company for Gainwell Group’s manufacturing and mining businesses.
The investment will provide the group with long-term capital to fund its expansion plans and allow it to direct a larger share of its operating cash flows towards business growth, Kotak Alts said in a statement.
Led by Chairman and Managing Director Sunil Kumar Chaturvedi, Gainwell Group operates across construction and mining equipment, underground mining equipment manufacturing, mining services, cranes and material handling equipment, defence equipment, natural gas compression equipment and technology solutions.
Its flagship company, Gainwell Commosales Pvt Ltd, is an authorised Caterpillar dealer across North and East India, Nepal and Bhutan. The company also undertakes underground coal mining operations.
“Gainwell has built a strong manufacturing and mining platform, supported by its longstanding association with Caterpillar and a demonstrated ability to build and scale businesses. Our investment will provide flexible, long-term capital to support the Group’s next phase of growth. We believe Gainwell is well placed to benefit from India’s continued investment in manufacturing and infrastructure,” said Amit Jain, CEO, Kotak Yield & Growth Fund.
Chaturvedi said the partnership with Kotak would support the group’s next phase of expansion across its manufacturing and services businesses, both in India and overseas.
Kotak Alts, part of the Kotak Mahindra Group, was established in 2005 and has raised, managed and advised more than $22 billion across private equity, real estate, infrastructure, special situations, private credit and investment advisory businesses.
