Singapore's Lighthouse Canton to invest over US$1.5 billion in India; eyes private credit, real estate

Singapore-based asset manager Lighthouse Canton plans to invest over US$1.5 billion in India in the next few years, with a focus on private credit and real estate, senior executives told Reuters on Tuesday (Oct 28).

The firm aims to exceed US$1 billion in private credit and US$500 million in real estate investments over three to four years, said Sanket Sinha, managing director and CEO of Lighthouse’s global asset management business.

“For alternatives, private equity in real estate and private-credit space, India will be one of our top plays,” Sinha said. “We see India becoming one of the largest investment destinations for Lighthouse Canton.”

The company has already deployed over US$350 million in Indian alternative assets and manages a 1.2 million square foot portfolio of life sciences-related real estate, including research and development labs, in the southern city of Hyderabad.

It operates an India and South-east Asia growth debt fund targeting mid-to-growth stage firms, alongside an early-stage India-focused venture equity fund. Globally, Lighthouse Canton oversees US$4 billion in assets under management and advisory.

The firm plans to launch a new India-focused private-credit fund, aiming to raise 10 billion to 15 billion rupees (S$146.6 million to S$219.9 million) by January 2026.

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“For the private-credit fund, among other things, we will focus on companies with cross-border opportunities, acquisition financing, turnaround investing, and asset-light companies with good cash flow, like IT or SaaS (software-as-a-service) companies,” said Pranob Gupta, managing director of India alternatives at Lighthouse Canton.

India’s private-credit market has grown rapidly as companies increasingly seek financing for acquisitions, dividend recaps and promoter funding, areas often underserved by traditional banking channels.

Global funds have driven nearly 55 per cent of capital inflows into India’s private-credit market over the past three years, according to an EY report from August.

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S&P Global reported in September that the sector is in the early stages, with assets under management estimated at US$25 billion to US$30 billion as at March, equivalent to 0.6 per cent of India’s GDP and 1.2 per cent of corporate lending.

Gupta highlighted opportunities in the “mid-market” segment – with deal sizes ranging from US$10 million to US$50 million – as being particularly attractive for the firm’s private-credit fund.

Sinha said Lighthouse Canton currently operates seven offices in India and is actively exploring opportunities in Bengaluru and Mumbai. REUTERS