Venture debt veterans Agarwal, Shah likely to float independent fund2 min read . Updated: 05 Oct 2020, 12:57 PM IST
- InnoVen had its beginnings as SVB India Finance in Mumbai. In April 2015, it executed a management buy-out bringing in Temasek and United Overseas Bank as investors
MUMBAI: Venture debt capital industry veterans Ankit Agarwal and Punit Shah, part of the senior management team at InnoVen Capital, are leaving the fund and are likely to set up their own venture debt fund, said two people aware of the development.
"Agarwal and Shah, both are old hands at Innoven and part of the core senior management team there. Both expected to move together to either start a new fund or join one of the existing funds," said one of the people cited above, requesting anonymity as he is not authorized to speak with the media.
“The venture debt industry has matured significantly in last five years in India with 3-4 major players and Agarwal and Shah are among the few executives who carry combined 15-plus years of experience in this asset class," he added.
InnoVen is already in the process of hiring a senior industry executive and an announcement is expected this month, said the second person cited above.
InnoVen had its beginnings as SVB India Finance in Mumbai. In April 2015, it executed a management buy-out bringing in Temasek and United Overseas Bank as investors. Temasek Holdings Pte Ltd, the investment arm of Singapore government, invested ₹300 crore in the entity, which was renamed InnoVen Capital.
This will be the second instance in the last few years when senior InnoVen Capital members will step out to set up a venture debt fund.
In 2017, Ajay Hattangdi and Vinod Murali, who had set up the venture debt platform, left the firm to start their own venture debt fund Alteria Capital.
Agarwal, currently a director at InnoVen Capital has over nine years of experience in the venture debt industry and has led numerous debt transactions across sectors like logistics, consumer, healthcare.
Some of the deals executed by Agarwal include venture debt transactions in startups such as Firstcry, Eruditus, Bounce, Dailyhunt, Licious and Ofbusiness. He has a MBA from IMT Ghaziabad and a chartered accountant. Agarwal has previously worked at financial institutions such as ICICI Bank and Yes Bank.
Shah, also a director at InnoVen, has led numerous venture debt transactions across sectors like SAAS, Fintech, E-commerce. Some of his transactions include deals in Oyo, Curefit, Blackbuck, Vedantu and Agrostar.
Shah has over 12 years experience in specialised lending space including seven years at InnoVen and five years with HSBC and Yes bank. He has an MBA from Welingkar Institute of Management Studies, Mumbai.
An email sent to Innoven Capital did not elicit a response. Agarwal and Shah declined to comment on the development.