Darby Overseas Investments, the captive private equity arm of Franklin Templeton Investments, has raised a $147 million fund targeting the Indian retail market.
Working in conjunction with the San Francisco-based investment manager, Darby will invest in high growth, mid-sized unlisted companies throughout India, according to a statement from the firm. The fund, called Franklin Templeton Private Equity Strategy, is a closed-end, rupee-denominated vehicle that will be advised by Darby’s India affiliate, Darby Asia Investors.
“Despite the expected moderation, the Indian economy will continue to be one of the fastest growing economies in the world and the rising demand for private equity capital will help this product to capture the growth potential in an effective way,” Franklin Templeton India president Vivek Kudva said in statement.
In September, Darby closed its Brazil Mezzanine Infrastructure Fund on $236 million. The fund, a joint venture between Darby and Brazilian private equity manager Stratus Group, marked the first mezzanine fund to be devoted exclusively to Brazilian infrastructure, according to the firms.
In 2006, Darby closed the Korea Emerging Infrastructure Fund on $610 million, managed jointly with Hana Bank.
Founded in 1994 by former US Treasury Secretary Nicholas Brady, Darby became a fully owned subsidiary of Franklin in 2003.