This Nandan Nilekani-backed ₹2,500cr fund will support early growth-stage start-ups
What's the story
Fundamentum Partnership, a venture capital firm co-founded by Infosys co-founder Nandan Nilekani and former Helion Venture Partners executive Sanjeev Aggarwal, is planning to launch its third fund. The new fund will have a corpus of ₹1,800 crore to ₹2,500 crore. It will continue the firm's investment strategy and focus on early growth-stage and Series B companies in sectors such as consumer internet and fintech.
Investment approach
Fund III will continue to back scale-up phase companies
The new fund, dubbed Fund III, will target start-ups that have achieved product-market fit and are entering the scale-up phase. This is in line with the firm's previous investment strategies. The first fund was launched in 2017 with an initial corpus of $100 million and backed companies like PharmEasy and Spinny, which later became unicorns.
Growth trajectory
Second fund started in 2022
In 2022, Fundamentum raised $227 million for its second fund, Fund II. The firm had said at the time that it would invest in four to five companies annually and lead or co-lead rounds of $25 million to $40 million. This strategy was largely focused on technology-driven businesses and growth-stage companies. Fund III is expected to follow a similar approach as its predecessor.
Distinct ventures
F2A will operate independently from Fund III
The upcoming Fund III will be separate from F2A or Fundamentum Frontier Advisors, an AI and deep-tech-focused platform that the firm recently launched. While F2A operates independently and targets frontier technologies, Fund III will continue the firm's core strategy of investing in scaling start-ups.