Neo Asset Management Secures ₹2,000 Crore in First Close of Private Credit Fund NSCOF-II

Neo Asset Management, a prominent player in India’s alternative investment landscape, has announced the first close of its second flagship private credit fund — Neo Special Credit Opportunities Fund-II (NSCOF-II) — at ₹2,000 crore. The announcement marks a significant milestone for the firm, just three months after the fund’s launch. The total targeted corpus for NSCOF-II stands at ₹5,000 crore.

The fund has received strong interest from Family Offices, Ultra High Net Worth Individuals (UHNIs), and Institutional Investors, further solidifying Neo’s position as a go-to platform for alternative investments focused on Private Credit and Real Assets.

NSCOF-II is registered with SEBI as a Category II Alternative Investment Fund (AIF). The fund is structured to offer customized credit solutions to EBITDA-positive companies, ensuring capital protection with robust safeguards. Each investment is fully secured with 2-3 times asset collateral and structured to yield regular coupon payments.

Neo Asset Management aims to build a diversified portfolio of 25–30 investments, with individual deal sizes ranging from ₹150 to ₹300 crore. The firm remains committed to its core investment philosophy, focusing on disciplined deployment and value creation for investors.

The fund follows the successful track record of Neo Special Credit Opportunities Fund-I, which closed in June 2024 after raising ₹2,575 crore. The fund has been fully deployed across 23 diversified investments, with exits from seven positions over the last 18 months. Neo’s team has evaluated more than 450 investment opportunities in the past two years, demonstrating a rigorous and selective approach.

Neo Group, the parent company of Neo Asset Management, is backed by Peak XV Partners, MUFG Bank, and Euclidean Capital, and is dedicated to building India’s leading alternatives platform. With over ₹10,000 crore in assets under management (AUM), Neo invests across asset classes, with a focus on delivering returns through stable, cash-generating investments.

Picture of R. Chandra

R. Chandra

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