Co-investment for a large investor
Scenario 9 of 15 · Reg 17A
An investor in a Category II AIF, who is not an accredited investor, wants to co-invest in one of the fund's portfolio companies through the fund's co-investment scheme. The Manager also offers him a lower valuation than the AIF paid.
What is the problem?
Choose an answer to see the verdict and the approach.
Scenarios are for learning. They apply the SEBI (AIF) Regulations, 2012 provision named to simplified facts. Real situations need a review of the full provision, SEBI's circulars and your own facts.
Meet the expert
CS Prashant Kumar
Company Secretary & Compliance Officer
Global Horizons Capital Advisors (IFSC) Private Limited — an IFSCA-licensed investment banker
Published in The Chartered Accountant (Jun 2025, Jan 2025, Mar 2024) and Chartered Secretary (Aug 2023)
Prashant Kumar is a seasoned Company Secretary and corporate governance strategist with more than 13 years of experience advising large corporates, promoter-led groups and global businesses on compliance, regulatory risk and board governance. In GIFT IFSC, the IFSCA regime is his day job rather than a research topic.