Corpus : US$ 15 mn Vintage : 1998 Focus : Venture Capital Status : Partly Divested		Number of Investments : 8 No. of Divestments : 8 Gross Return * : 18% p.a.
* Gross Return in INR terms

India Auto Ancillary Fund (IAAF) was set up in October 1998, with a corpus of US $ 15 mn. Contributors to the Fund include a mix of international and domestic investors, including the IFC, Deutsche Investitutions und Entwicklungsgesellschaft (DEG Germany) and leading Indian institutions.

IAAF was initially conceived as a sector specific Fund, with an eye on the de-regulated auto components sector in India. This sector was anticipated to see significant investment, consolidation and restructuring, with the arrival of global majors in the country. However, slow sector development resulted in limited opportunities for capital growth. Accordingly, IIML worked with investors to broaden the investment focus to include other growth sectors such as technology and life sciences.

The Fund has made 8 investments across Auto, Technology and Pharmaceuticals and has divested from all of these investments, generating a 18% gross return and a 2x gross multiple for its contributors.

Key Transactions :

• Malladi Drugs & Pharmaceuticals Limited
• Future Software Limited
• iMetrex Technologies Limited