SSFs Ride Demand for High-Yielding Distressed Assets

Gaining Traction

- NESIL STANEY

SPECIAL SITUATIONS FUNDS (SSFs), which buy stressed assets and capitalize on turnaround situations and special market events, are the flavour of the season, with several launches in recent months. These include funds from Motilal Oswal, InCred, and Resurgent India.

SSFs are a sub-category of Category I Alternative Investment Funds (AIFs) regulated by Sebi.

"We aim to systematically acquire, revive, and scale assets that hold potential but face temporary financial or operational distress. Our approach is strategic and patient," said Jyoti Prakash Gadia, managing director at Resurgent India, which is raising ₹500 crore in SSF.