Bahrain-based TAIB Bank will open its Indian equity investment fund for initial subscriptions on 1 October, after several months delay in the launch. The Everest Fund is part of TAIB’s strategy to develop its activities in the Indian capital market (MEED 1:9:95).

The Luxembourg-listed fund plans to raise up to $50 million, with about half in commitments from the initial month-long subscription period. GCC nationals and non-resident Indians are expected to be the main investors. TAIB will also co-invest up to 4.9 per cent in the Everest Fund.

Despite some recent bearish trends on the Indian stock market, TAIB says the medium-size corporates being targeted still offer some attractive investment opportunities. The original launch was delayed from the spring because of lost confidence in emerging markets around the world following the Mexico crisis.

The fund managers will be advised by TAIB’s recently set up Bangalore- based merchant bank, TAIB Capital Corporation. The corporation was established in participation with 10 major Indian corporates. The fund is listed in Luxembourg and investments will be placed through its Mauritius subsidiary to take advantage of a double taxation treaty between the island state and India.