BlackSoil has successfully exited 50+ deals since its inception in mid-2016 across its Secured Credit portfolio consisting of venture debt and structured finance, the company said in a statement. The average gross IRR earned on the exit is ~18% p.a. & the capital repaid has been redeployed further in various other high yield credit investment opportunities.
“Ensuring timely collections is equally critical as is growth of loan book and we have emerged effectively in doing both despite facing all kinds of business cycle disruptions. This milestone just reiterates how the private credit asset class provides regular cash-flow, exits and superior risk-adjusted returns to investors, especially in the backdrop of how Indian PE/VC players have generally struggled in getting consistent exits”, said Ankur Bansal, Co-Founder of BlackSoil.
Despite the pandemic & the ensuing 6-month moratorium announced by the RBI, the NBFC managed a record number of 15 exits in FY21 itself across diverse sectors such as D2C, e-commerce, Fintech/NBFCs and mobility. The majority of our investee companies have managed to attract marquee investors, resulting in notable exits via PE investments, M&A as well as refinance activity. “It gives us immense pleasure to see our portfolio companies flourish and reach the next level in terms of their future growth trajectory. We have always acted more as a partner vis-à-vis a traditional lender and offered full support across the life-cycle of the deal from disbursement to exit”, he added.
Blacksoil in the last month announced its investment in Mahaveer Finance, Freightwalla, UpMoney NBFC, and D2C affordable fashion player Rapidbox.
BlackSoil currently manages an alternative credit platform consisting of an RBI-registered NBFC and three SEBI-registered AIFs. The group has totally disbursed ₹2,150 Cr across 130+ transactions and overall exited 70+ transactions with over 70% of the exits taking place in its secured non-real estate credit portfolio itself.