NV Capital said on Wednesday it launched its maiden media and entertainment credit fund to raise up to Rs 500 crore ($68.2 million).
It will raise cash from domestic as well as offshore investors such as financial institutions, high net worth individuals, family offices and banks, NV Capital said.
“With the rapid rise of Category II credit funds in India over the last few years, NV Capital is looking to establish a new alternative asset class in the media and entertainment space,” NV Capital said.
The objective of the fund was to invest in content creators, OTT platforms, gaming and entertainment startups, the company said.
“The last 10-15 years have witnessed meteoric growth in this alternative asset class with the support of ancillary revenue monetisation platforms like broadcasting and music, and now the recent OTT phenomenon,” Nitin Menon, co-founder and managing partner of NV Capital, said.
“Further, with the recent Amazon-MGM and the Warner-Discovery deal, the war for content manufacturing is getting bigger globally and India would be a recipient of these content spends as the next big market,” Menon added.
Founded by ex-bankers Nitin Menon and Vivek Menon, NV Capital will also be India’s first credit fund focused on the media and entertainment sector.
The fund also recently received a nod from SEBI as a Category II alternative investment fund.
NV Capital said Jayantilal Gada, chairman and managing director of Pen Studios, will be its sponsor.