Key Announcements

Northern Arc Diversified Debt Fund:

  • First close achieved with commitments exceeding ₹400 crore from institutions, family offices, UHNIs, and HNIs
  • Targets ₹1,500 crore corpus with additional ₹500 crore greenshoe option (potential total size: ₹2,000 crore)
  • Sector-agnostic Category II Alternative Investment Fund (AIF) focused on performing private credit opportunities
  • Rated AA(SO) by CareEdge Ratings
  • Five-year tenure with target return of 16% XIRR
  • Represents NAIM's 15th private credit fund

Northern Arc India Impact Fund:

  • Fund has matured with 14.59% Gross XIRR return
  • Deployed over ₹1,398 crore at fund level across 60 businesses
  • Focused on financial inclusion opportunities across India
  • Backed by UHNIs, family offices, and domestic/global institutional investors
  • Marked significant milestone in NAIM's private credit journey since FY2014-15

Historical Performance and Scale

  • NAIM has launched 15 funds with seven fully matured
  • Weighted average XIRR of over 14.5% across matured funds
  • No extensions or principal loss to investors in matured funds
  • Cumulatively distributed over ₹10,000 crore of principal and coupon since inception
  • Total platform deployment: Over ₹16,500 crores across 15 AIFs and two PMS offerings
  • Served more than 1,500 investors across institutional and wealth segments

Company Overview (Northern Arc Capital Limited)

  • Diversified financial services platform with ₹21,790 crore assets under management
  • Lending balance sheet: ₹19,003 crore
  • Assets under management in fund business: ₹2,785 crore
  • Facilitated credit placements: ₹1.32 lakh crore to external investors
  • Total facilitated financing: Approximately ₹2.7 lakh crore impacting over 142 million lives

Business Segments:

  • Direct-to-Customer (D2C) lending: 446 branches and 28 digital live partnerships across MSME, consumer, and rural segments
  • Credit Solutions business: Enables 382 Origination Partners to access capital

Corporate Structure:

  • Northern Arc Investment Managers Private Limited (fund management business)
  • Northern Arc Securities Private Limited (operates Altifi.ai online bond platform)
  • Pragati Finserv Private Limited (rural distribution arm)
  • Northern Arc Foundation (CSR arm)

Investor Backing:

Affirma Capital, LeapFrog Investments, International Finance Corporation (IFC), and SMBC