Motilal Oswal Financial Services is set to make its foray into India’s fast-growing private credit market, appointing Rakshat Kapoor – former CIO and Head of Private Credit at Modulus Alternatives Investment Managers – to lead the initiative, according to a report by Bloomberg citing sources familiar with the development.
Kapoor, who recently stepped down from his role at Modulus, will spearhead Motilal Oswal’s debut private credit strategy under the Motilal Oswal Alternates platform, which manages approximately $1.8bn in assets, according to the firm’s website.
The Mumbai-based firm is targeting a $250m raise for its inaugural private credit fund, with a launch anticipated within the next four to six months. The strategy will focus on mid- to large-sized Indian corporates seeking growth capital, with investments spanning the full credit risk spectrum, sources added.
Kapoor brings over six years of experience from Modulus Alternatives and previously held senior investment roles at Nomura and Deutsche Bank.
The move comes as India’s private credit market continues to expand, with deal volumes reaching $9.2bn in 2024 – up 7% year-on-year – according to data from EY.
The sector has attracted both domestic and international players, including KKR, Goldman Sachs, and Kotak Alternate Asset Managers, the latter reportedly eyeing a $2bn fundraise. Interest from Middle Eastern sovereign wealth funds and Indian state-linked institutions is also rising.
