Venture capital firm Matrix Partners has raised $110-112 million as part of its second fund.

The second fund would close at around $400 million by the second half of 2017 and would be dedicated to new investments.

“The VC community in India has not done a good job in sending money back to investors. Hence, our focus is to do successful exits and new investments," Avnish Bajaj, co-founder and managing director of Matrix Partners, said in a phone interview.

“We will look to make 2-4 exits by the end of this year," said Bajaj.

Matrix India raised its first fund in 2006. Matrix Partners typically makes 10 investments a year and in 2016 there would be more debt-centered Series A investments.

“We may close around 6 Series A deals, one or two Series B and 8-10 seed deals," said Bajaj.

The sectors in focus would be financial tech, software as a service (SAAS), edtech, business-to-business (B2B), logistics and marketplaces to some extent.

With the exit of co-founder Rishi Navani, the investment operations of the fund will be anchored by Bajaj and other managing directors Vikram Vaidyanathan and Tarun Davda. Vaidyanathan joined Matrix Partners in 2010 and played a key role in setting up a new office in Bengaluru in May.

He, along with Mumbai-based Davda, have helped the fund device its new focus on early-stage deals. Bajaj said that the operations of the fund had been strengthened with the setting up of the Bengaluru office, and Matrix will be adding new team members.

This year Matrix has invested in Finomena, a fin-tech company and OfBusiness, a business-to-business marketplace. Matrix’s investments include e-commerce company A.M. Marketplaces Pvt. Ltd (Limeroad), budget accommodation provider Inasra Technologies Pvt. Ltd (Stayzilla) and Healthcare service provider Practo Technologies Pvt. Ltd.

Its portfolio also includes taxi-hailing company Ola (ANI Technologies Pvt. Ltd) and online classifieds firm Quikr India Pvt. Ltd. The two companies are valued at around $5 billion and $1 billion, respectively.

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