Indian Angel Network on Wednesday announced the first close of its maiden early-stage investment fund at Rs 175 crore ($27.3 million).
The SEBI-registered fund, which is targeted to close at Rs 350 crore ($55 million), will focus on investing in new-age disruptive technologies and businesses across a broad range of sectors including healthcare and medical devices, SaaS, marketplaces, fintech, big data, AI and hardware.
“With this fund IAN is upping the game, supporting entrepreneurs from Rs 50 lakhs to Rs 30 crore, co-investing with other VCs. Our goal is to distribute money as efficiently as possible to get innovators through the most challenging early stages of funding. I am confident that the fund will have a significant role in creating high-growth companies in our country,” said Saurabh Srivastava, Chairman and Co-Founder at IAN.
Through its angel network and new fund, IAN aims to invest around Rs 1,500 crore ($234 million) in around 160 companies over the next four years. According to an official statement, this would make the largest early stage investing platform, capable of writing cheques from Rs 25 lakh to Rs 50 crore.
Along with supporting all the IAN deals, the fund will also independently co-invest with other venture capital firms. It is targeting to fill the gap created between angel round and pre Series A opportunities, ranging between Rs 6 crore and 25 crore.
Established in 2006, Indian Angel Network is the largest in the country one of the major angel networks globally with close to 450 members across the world. With investors from 10 countries, IAN’s presence spans seven locations, which includes cities in India and UK.
The network is sector agnostic and has funded startups across 17 sectors in India and 6 other countries growing global footprint companies. Between 2014-16 IAN has invested about over $32 million in around 60 deals.
The investment committee of the new fund includes Padmaja Ruparel, Co-founder & President at IAN, Ajai Chowdhry, Co-founder, HCL, Raman Roy, Chairman Nasscom, Founder QUATTRO, & Co-founder IAN, and Rakesh Rewari, ex-DMD, SIDBI along with Harish Mehta, Founder, Onward Group, Co-founder, NASSCOM, Alok Mittal, ex-Canaan MD and entrepreneur, Co-founder IAN, and Rakesh Malhotra, entrepreneur, Founder, Luminous.
Its advisory committee includes industry veterans like Kris Gopalakrishnan, Co-founder, ex-CEO, Infosys, Sunil Munjal, Joint Managing Director, HERO Corp, and Dr Devi Shetty, Founder and Chairman, Narayan Hrudalaya, as part of its advisory committee.
Many early-stage investment firms are in the market to raise funds including pi Ventures that recently made the first close of its maiden fund at $13 million.