Hero Enterprise

Hero Enterprises invests $21.6 million into Aavishkaar Bharat Fund

Here at The Good Movement, we are always excited to hear of money flowing into the social enterprise space and impact investing. Therefore, when Hero Enterprises (India) announced a Rs 100 crore ($21.6 million) investment into impact investor Aavishkaar’s new fund, it sounded like good news to us. The new fund, Aavishkaar Bharat Fund, is the Aavishkaar’s sixth fund. Aavishkaar is part of the Aavishkaar-Intellecap Group.

“With this investment, we can continue to build and scale enterprises that are working at the grassroots, whilst simultaneously multiplying their impact outcomes,” said Vineet Rai, Founder and CEO of Aavishkaar-Intellecap Group.

Aavishkaar is looking to raise Rs 2,000 Crore ($430 million) for the fund, which was announced a year ago, to invest in agriculture, financial services, healthcare, sanitation, renewable energy, and logistics for underserved populations.

Since 2002, Aavishkaar has made about 50 investments, raised five funds, and has over Rs 1,300 Crore ($280 million) under management. Aavishkaar is currently raising its first overseas fund, a $100 million Frontier Fund, which will invest in South and South-East Asia.

On the motivation behind Hero’s investment, Sunil Kant Munjal, Chairman, Hero Enterprises, said, “At this stage in India’s evolution, it is clear that for the entire country to develop, rural areas and underprivileged citizens must become part of the economic miracle, not through charity, but through real opportunities.”

Hero Enterprise is a widely diversified group that has a legacy of global scale enterprises in multiple areas, including bicycles, motorcycles, auto components and a host of service businesses. It is now growing and consolidating businesses like insurance distribution, training and cold rolled steel-making. The company is also investing in thoughtful real estate projects that seek to dramatically improve the quality of living for India’s middle class.

Featured image source: indiaeducationdiary.in

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