Mumbai, February 26 Motilal Oswal Alternates announced on Thursday the first closure of its private credit fund, India Credit Excellence Fund - I, at Rs 1,700 crore.
The fund also includes a commitment of Rs 200 crore from the Motilal Oswal Group, the company statement said.
The fund will focus on secured lending and customized solutions targeting mid-market businesses that are profitable, growing, and fundamentally creditworthy, but unable to access capital at the right tenor and structure from banks or capital markets, the release added.
"India's private credit market is at a turning point. We estimate the addressable market to grow to over Rs 10 lakh crore over the next few years. This will be driven by mid-market corporations actively seeking flexible, non-dilutive capital as traditional financing channels face structural constraints. We intend to be their preferred partner," Rakshat Kapoor, head and chief investment officer for private credit at Motilal Oswal Alternates, said.
The fund was launched in January 2026, targeting a total corpus of Rs 3,000 crore, including a green shoe option, the company said.
Motilal Oswal Alternates has raised over Rs 23,000 crore across 11 funds in two decades and currently manages assets worth Rs 28,000 crore. Furthermore, the platform had recently announced the final close of its fifth and largest ever private equity fund at Rs 8,500 crore, the release added.
