Venture capital firm Inflexor Ventures has launched a new $100 million early-stage fund, Inflexor Technology Fund, which will back startups in sectors such as healthtech, fintech, consumertech, cleantech, edutech, deeptech and agritech, said a top company executive.
The VC firm, based out of Mumbai and Bengaluru will make 6-8 investments from the fund this year, said managing partner Jatin Desai.
Inflexor Ventures said that the fund will invest between $500,000 to $1 million, with $2 million-$4 million for follow-on rounds in the portfolio companies.
Desai said, in a telephone interview, that they are looking at a first close (of the new fund) in the June quarter of the next financial year.
"We are ready to invest. We are already evaluating companies," he added.
Desai did not disclose the names of the investors in the fund but said that Inflexor Ventures plans to raise the funds from institutional investors and family offices.
"We are talking to three domestic institutional investors, three international institutions and a few family offices," he said.
The co-founders and managing partners of Inflexor, Venkat Vallabhaneni and Desai, had earlier co-founded Parampara Capital, an early-stage tech-focused VC firm. The ₹100 crore-Parampara Early Stage Opportunities Fund, set up in 2015, had backed 12 companies including startups such as PlayShifu, that makes augmented reality-based educational toys for children, Atomberg, that manufactures energy-efficient home appliances, and space technology company, Bellatrix Aerospace.
IDFC Alternatives, the asset management arm of infrastructure-focused lender IDFC Ltd, had partnered with Parampara Capital for that fund.
"We have had a couple of cash exits from that fund. We have some money left for follow-on investments," Desai said. "In the Parampara fund, we had focused on pre-Series A. For the new fund, we will do seed to Series A+ plus. The theme (for the Inflexor Technology Fund) more or less remains the same. We are now a bit more comfortable with consumer tech, otherwise our focus was on business to business (B2B), enterprise, software-as-a-service (SaaS), and business to business to consumer (B2B2C) technology," he said.
Pratip Mazumdar, who was previously with IDFC Alternatives, has also joined Inflexor as a Partner. The new fund will invest in disruptive technology startups that solve real-life problems and have potential in domestic and international markets, the statement said. The fund also seeks to help portfolio companies in global expansion and will invest in early-stage companies that have achieved a basic product-market fit and early commercial validation, the firm said in a statement.
“As an active participant of the early-stage VC ecosystem in India, it is our constant effort to identify companies which are at an inflection point in their journey and help them scale up to become category leaders in their respective sectors and we hope to contribute further to it with the launch of our second fund," Desai said.