The fund, registered with the Securities and Exchange Board of India (SEBI), will focus on structured credit investments in mid- to large-sized companies. It has a tenure of six years, with average deal tenures of around three years.
According to the company, the fund will primarily pursue senior secured lending opportunities across sectors and may invest in growth financing, acquisitions, refinancing and cross-border transactions. The strategy is aimed at addressing rising demand for alternative credit as traditional lending channels face regulatory and balance sheet constraints.
Lighthouse Canton said India’s private credit market has been expanding due to a widening gap between credit demand and supply, along with increasing preference among companies for non-dilutive capital solutions.
Sanket Sinha, managing director and chief executive officer of Global Asset Management at Lighthouse Canton, said the fund is intended to focus on risk-adjusted returns through disciplined credit underwriting and lending to companies with established operating histories and governance standards.
Pranob Gupta, managing director and business head for India Alternatives at the firm, said the investment strategy will emphasize capital preservation, deal structuring and sponsor diligence, while targeting a selective portfolio of investments.
The company said the fund has already warehoused its first investment and has identified a near-term pipeline of opportunities across sectors including industrials, conglomerates and consumer businesses.
Lighthouse Canton manages more than $5 billion in assets globally across credit and alternative investment strategies.
