Kotak arm funds DCW with Rs 410 cr

The fund has invested in the form of non-convertible debentures (NCDs) and optionally convertible debentures (OCDs) in DCW.

On conversion, the OCDs will result in an 11 per cent stake in DCW for Kotak Special Situations Fund (KSSF), the fund said in a statement.

KSSF funding will help DCW to refinance its existing term loans, improve working capital, and enhance capacity utilisation to meet the growing demand for its products and scale up the speciality chemicals operations.

“This investment is in line with our ability to provide unique and flexible capital solutions which are not ordinarily available in the ecosystem,” Srini Sriniwasan, MD, Kotak Investment Advisors, said.

KSSF has been investing from its $1 billion fund in a variety of structured investment situations. DCW is a market leader in speciality chemicals.