New Delhi, Jan. 12 -- BetterInvest has launched BetterInvest Media Vision Fund - 1, a category II alternative investment fund focussed on the media and entertainment industry in India.
The private credit fund has a tenure of five years. It is targeting a corpus of Rs 300 crore (around $33 million) with a green shoe option of Rs 300 crore.
The maiden vehicle will focus on movie and content production financing. Unlike conventional debt funds, this alternative investment fund adopts a strategy of a debt-plus-profit-sharing structure, enabling investors to participate not only in interest income but also in the upside potential profits from successful content projects, BetterInvest said in a press note.
The will make periodic interest payments for the first three years, during which the principal will be redeployed. From year four onwards, principal repayments will commence, with full return of capital expected by year five.
"We are focused exclusively on media and content financing. Our objective is to evolve into a fully institutionalised, end-to-end capital provider for the ecosystem, setting benchmarks in underwriting, governance, and capital discipline," Sedhumanikandan, co founder, BetterInvest, said in the press note.
BetterInvest focusses on financing both production houses and YouTube creators. The firm has financed over 235 media projects. According to the company, it has cumulatively deployed around Rs 800 crore, with average annual returns of around 16% across its earlier structures.
The launch of the first fund marks the company's expansion into the AIF space.
Published by HT Digital Content Services with permission from VC Circle.