Lighthouse Fund III

Lighthouse is a small cap fund manager focused on consumer companies operating in the Indian lower middle market.

The fund manager is raising its third fund, Lighthouse Fund III with a target fund size of $200 million and will invest $15 – 20million in 10 – 12 companies. The fund is primarily focussed on family-backed, small to medium-sized consumer businesses.

Our investment

In 2018, we committed $25 million to Lighthouse India Fund III. Over time, small to medium-sized consumer businesses have been experiencing a widening gap between the supply and demand of growth capital; we are trying to help bridge the gap through our investment in this fund. So far, Lighthouse has made four investments in manufacturing companies, including Tynor Orthotics, a leading manufacturer of orthopedic and fracture aids and Aqualite, a leading manufacturer of affordable family footwear.

Expected impact

Lighthouse III will provide small cap minority equity capital to family-owned and controlled businesses that do not have access to institutional funding, addressing a supply-demand gap in India’s small-cap space. The fund manager particularly aims to address the financing gap in less developed regions across India.

Key facts

Status:
Active
Investment type

We provide capital in three broad ways: direct equity, debt, and intermediated equity (principally through investment funds).

:
Intermediated investment
Fund manager:
Lighthouse Funds LLC
Amount

For direct investments, this is the total amount that CDC has committed to the business or project (it may be a combination of equity and debt).

For funds, this is the total amount that CDC has committed to the fund.

:
$25m

Investments made by this fund

  • Active
  • Exited
Investment name Country Region Sector Start date Status