Capri Stressed Assets Fund invests INR 375 Crore in UNBRAKO

The World-renowned fasteners brand

by Suman Gupta

Capri Stressed Assets Fund (Capri Fund) – managed by Capri Xponentia Managers LLP (CXM) announced its first investment in Deepak Fasteners Limited. Capri Fund has taken significant minority stake in the company. The investment is structured in combination of debt, convertible and equity.

Through the investment raised, the Ludhiana-based company provided exit to select lenders turning a new leaf in its journey. The Company, by capitalizing on its strong brand, market positioning and distribution network, targets to emerge as a major player in the industrial fasteners segment, world-wide, over the next few years. The unique transaction structure designed for investment is aimed to assist the Company in its growth endeavor. The Company intends to come out with a public offering of its equity shares in the next few years. From Capri Fund, Umesh Biyani and Ankit Jain shall be inducted as Nominee Director on the Board of the Company.

Commenting on the transaction, Rajesh Sharma, Founder of Capri Global Group said, “We are thrilled to partner with Deepak Fasteners Limited. By realigning the capital structure and reducing debt to sustainable levels, the investment is structured to fuel the Company’s growth plan. It is our belief that the company is at the cusp of emerging as a preferred fastener partner for the Indian industry driven by its strong world-renowned ‘Unbrako’ brand, excellent manufacturing capabilities and the unfolding India growth story. This investment underlines our philosophy of working with companies having strong and resilient business models, help them turnaround their business operations and evolve as a major player within their industry.”

Sanjeev Kalra, Promoter of Deepak Fasteners said, “Our vision is to continue being the world leader in designing, manufacturing and marketing of premium quality industrial fasteners. We plan to capture a major share of global market for industrial fasteners with an extensive and accessible worldwide marketing and distribution network and with our range of Made-in-India “Unbrako” fasteners. Capri Xponentia’s investment is a testament to our capability and potential. We are confident that we will be able to achieve our future targets and come out with an IPO in near future”.

Aarayaa Advisory Services Private Limited advised the Company on the transaction.

About Capri Xponentia Managers LLP: Capri Xponentia Managers LLP is the Investment Manager of Capri Stressed Assets Fund, a Scheme of Capri India Investment Fund (earlier Capri India Real Estate Investment Fund). CXM is a joint venture between the Founders of Capri Global Group and Xponentia Capital Partners.

About Deepak Fasteners Limited:Deepak Fasteners Limited is the largest industrial fasteners manufacturer in India and worldwide owner of the brand UNBRAKO. Established in 1958, the company has current installed capacity of 49,000 MT and five state of the art manufacturing facilities world-wide. It has wide range of over 20,000 SKUs catering to diverse industry segments across the world and has well established domestic & global distribution network spread across 40 countries and +250 dealers in India.