Investment Focus

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NAMM Capital’s investment focus is characterized by a strategic approach that targets high-potential assets and businesses across various industries and regions. The firm’s investment criteria and strategy are designed to maximize returns while promoting sustainability and social responsibility. Here are the key elements of NAMM Capital’s investment focus: 

Minimum Investment Size

NAMM Capital typically considers investments or loans starting at $50 million. However, the firm may review lower amounts at its discretion, depending on the specific funding requirements and potential of the project. 

Flexible Funding Structures

The firm offers flexible funding structures, including debt, equity, or a combination of both, tailored to the unique needs of each investment. This flexibility allows NAMM Capital to optimize financial performance and meet the specific requirements of each project. 

Debt Terms and Equity Sweeteners

Debt investments usually have a term of five to seven years, with interest rates starting at 3.5% and potentially including an equity sweetener of up to 49%, depending on the Business Enterprise Value and the strength of the deal. The interest rate is based on the country rating where the company is located, rather than the company’s rating. 

Investment Criteria

NAMM Capital focuses on projects and companies that

Have a solid track record and experienced management
Provide adequate security for loans or investments.
Offer additional collateral as security.
Demonstrate significant personal investment by the borrower.
Show strong current revenue and profits.
Have a clear exit plan or strategy for the investor within five to seven years.

Focus Areas

NAMM Capital is industry and region agnostic, investing in diverse sectors and regions. Current investments span across India, the Middle East, Far East, Africa, and South America. The firm is also one of the largest investors in the Indian Stock Exchange. 

The firm is particularly interested in manufacturers that have reached capacity within their current facilities and need capital for expansion. NAMM Capital provides significant new capital to these manufacturers, often securing future sales contracts that support expansion and generate immediate revenue. 

The hotel and resort industry is another focus area, especially post-pandemic, as it continues to show high demand and strong cash flow potential. 

NAMM Capital is also addressing the global housing shortage, leveraging its global presence to aggregate companies and expand building footprints to meet demand more quickly. 

Investment Process

  • NAMM Capital does not require upfront fees for due diligence and will not issue an indicative term sheet until a face-to-face or site visit is conducted. This personal approach ensures that all parties understand the investment thoroughly before proceeding.
  • The firm typically invests at the holding company or enterprise level, seeking to add value through strategic oversight rather than day-to-day management. NAMM Capital often requests a board seat for oversight of its investments.

Co-Investment and Partnerships

  • NAMM Capital may co-invest with some of the largest investors from different parts of the world, leveraging its extensive network to enhance investment opportunities and outcomes.

Exclusions

  • Generally, NAMM Capital does not invest in startups unless they can provide other security for the loan or have significant intellectual property and upside potential. The firm is also not interested in logistics, commodities trading companies, or trade financing, unless there are compelling factors or other assets pledged.

By adhering to these criteria and focusing on high-potential investments, NAMM Capital aims to create a diversified portfolio that delivers strong financial returns while contributing positively to environmental sustainability and social progress.