Areion Group’s maiden GIFT City AIF raises $30 million in first close

The Areion Growth Fund – GIFT City, a Category III Alternative Investment Fund (AIF), was launched in late June and is registered under the International Financial Services Centres Authority (IFSCA) regulations.

The fund has a target corpus of $60 million, comprising a base size of $20 million and a green-shoe option of up to $40 million. It has a five-year tenure, with an option to extend it by up to two years. The final close is expected in the third quarter of FY27.

The fund will invest in opportunities across India’s credit spectrum, including special situations, insolvency and bankruptcy code (IBC)-led resolutions, one-time settlements and strategic exits to operating companies.

Areion said the first close was backed by commitments from ultra-high-net-worth individuals and family offices globally.

The fund marks Areion’s latest expansion in the alternative investment space. The group entered the AIF segment in 2019 and has since launched Category I and Category II funds. It said it has deployed around ₹30 billion, or ₹3,000 crore, in special situation assets since inception.

GIFT City has emerged as a growing hub for funds seeking to manage investments into India through the International Financial Services Centre framework. The platform allows fund managers to raise and manage offshore capital within India’s financial ecosystem.Areion’s latest fund comes as investor interest in stressed assets and special situations remains linked to opportunities arising from corporate restructuring, insolvency proceedings and credit-market dislocations.