Launch · Professional & Local Services

Sundaram Alternates launches hybrid equity-credit fund

By Startup Enthusiast · 11 March 2026

What they do

Sundaram Alternates manages alternative investments like private credit and equity

It launched AlphaBet – Series I, a balanced equity and credit strategy targeting ₹1,500 crore

The fund aims to capitalise on recent corrections in mid and small-cap stocks

Sundaram Alternates launched a new fund called AlphaBet – Series I.
It is a balanced equity strategy that invests in both listed equities and private credit.
The fund aims to raise ₹1,500 crore, with an additional green shoe option of ₹500 crore.
The equity portion covers large, mid and small-cap stocks.
The credit portion invests in senior secured private credit of mid-market companies.
Credit investments are cash-flow-backed or asset-backed with a tenor up to 4 years.
The fund has a life of 5 years, extendable by 2 years.

The launch comes after mid and small-cap segments recently corrected, making valuations more attractive.
Sundaram Alternates has deployed over ₹5,000 crore across 85 deals since 2017.
Its performing credit returns are 14–15%, special situations 17–18%, and real estate credit IRR 18–21%.

Sundaram Alternates is an alternative asset management firm.
It manages assets across private credit, liquid fixed income, and equity.
Its total assets under management (AUM) are approximately ₹9,500 crore.
The firm has deployed over ₹5,000 crore across 85 deals since 2017.
It offers strategies like performing credit, special situations, and real estate credit.