Synergy Capital, the Dubai-headquartered investment firm led by former ArcelorMittal Executive Sudhir Maheshwari, is targeting $1bn for its third fund as it ramps up private credit activity across Asia, with a particular emphasis on India, according to a report by Bloomberg.
The firm has secured $715m at first close, comfortably surpassing its previous $600m vehicle and more than doubling the size of its inaugural $300m fund. The latest fundraise marks a strategic shift for Synergy, which is now actively courting institutional capital for the first time.
“When we previously approached institutions, they were waiting for us to build a track record,” Maheshwari said. “With two successful funds behind us and nine exits, we now have the performance metrics institutional LPs require.”
Synergy Capital, established in 2015, initially focused on private equity and advisory work, leveraging Maheshwari’s extensive experience in industrials and infrastructure. Maheshwari, who spent 27 years at ArcelorMittal and played a key role in landmark M&A transactions, including the €30bn merger that created the global steel giant, launched Synergy with backing from family offices and high-net-worth individuals.
The latest fund will predominantly pursue structured private credit opportunities, with flexibility to allocate capital to equity-style transactions. According to Maheshwari, more than 50% of the capital is earmarked for India, where Synergy is looking to commit between $20m and $150m per deal.
The $1bn target is a strategic sweet spot, Maheshwari said – large enough to enable Synergy to pursue significant, strategic opportunities, yet small enough to retain a niche focus and avoid competing directly with global megafunds. If LP appetite exceeds expectations, the fund size could expand to $1.2bn.
Synergy is reportedly now in discussions with large institutional LPs, many of whom are expected to commit upwards of $100m each or 10% of the fund. The firm is also preparing to expand its team and capabilities in anticipation of scaling up deployment activity in 2025.
