Allianz Partners with Kotak for Investing in Indian Private Credit Market

Allianz Investment Management
Photo by Naveed Ahmed on Unsplash

Kotak Investment Advisors Limited (KIAL) and Allianz Investment Management SE (Allianz) – the investment management arm of Allianz Group (one of the world’s largest insurers) today announced its partnership for investing in Indian private credit market.

In February 2021, Allianz made its maiden credit investment of US$150 million in KIAL’s 11th Real Estate Debt Fund that achieved a closure of $380 million.

KIAL’s Real Estate Fund primarily focusses on financing early- and late-stage real estate projects across geographies in India. Allianz’ total private credit investments in India so far is worth approximately US$650 million and it is looking to steadily increase the same in 2021.

Uday Kotak, Managing Director & CEO, Kotak Mahindra Bank Ltd, said, “Kotak Investment Advisors’ partnership with Allianz is indeed momentous not only for us, but also for the Indian alternate asset management industry. As a growth economy, Indian economy’s capital needs are spread across the spectrum of equity and credit. Our partnership blends on the strength of two partners. Allianz brings with it the much wanted large package of dry powder and KIAL has the expertise in identifying the right opportunities as and when they arise in India.”

Ritu Arora, CEO & CIO Asia, Allianz Investment Management Asia said, “We are pleased to enter into this long-term partnership with the Kotak Group. The Kotak Group is deeply ingrained into the Indian credit markets and both groups are committed to strengthen this partnership going forward. As one of the largest private debt investors globally, one of our key drivers of success has been our focus on selecting best in class partners. We believe this partnership is a natural fit and will enable us to capitalize on the best private debt opportunities available in India. We continue to firmly believe in India’s long-term structural growth story and are keen to partner in its post-pandemic recovery and drive sustainable and inclusive growth.” –