Early-stage technology-focused fund Inventus Capital recorded profitable exits worth about $33 million (Rs 230 crore) from three portfolio companies in 2019, it said in an emailed note to DealStreetAsia.
Starting with the acquisition of Aasaanjobs by Naspers-funded OLX Group, and closing with two solid exits in December’19 – a partial exit via secondary sale in PolicyBazaar and a full exit in eDreams, which was acquired by RIL’s arm Embibe, Inventus has realised these returns in just the 7th year of the Fund, it said.
Inventus was invested in these companies through Inventus Fund-II India.
“Exits are challenging in the Indian environment, given the relatively lesser number of acquirers, but with these exits, Inventus in India has maintained its reputation of providing consistent realisations for its investors,” the company said.
“With many high-performing companies remaining in the India portfolio, Inventus expects to continue this solid exit trend,” it added.
Inventus injected about Rs 10.7 crore in AsaanJobs across two funding rounds in 2015 and held close to a 15% stake in the company. Meanwhile, it had invested about Rs 30 crore in PolicyBazaar. Inventus reportedly sold about 1.67% of its 3.5% stake in PolicyBazaar for about $25 million.
Inventus was founded in 2007 by Kanwal Rekhi, Samir Kumar and John Dougery. It has offices in Bengaluru and California. It raised $51.8 million for its debut fund in 2008 and $106 million for its second fund in 2013.
It reportedly achieved the final close of its third fund — Inventus-III — at Rs 369 crore ($52 million), exceeding an initial target of Rs325 crore ($46 million) in October last year. About 70 per cent of the corpus for the third fund was raised from investors in India.
On its website, Inventus Capital India says it invests in Series A rounds in technology-focused companies in both B2B and B2C areas. It targets investing in approximately 12-15 companies.
Some of Inventus’ past exits in India include redBus, which was sold to Naspers-owned Ibibo Group; Instahealth, which was bought by Practo; and Sokrati, which was acquired by Dentsu.
“An encouraging exit related trend we’re seeing is the emergence of Indian companies (both traditional as well as new-age) willing to acquire startups, and paying fair value to acquire strong IP and content. Almost every one of Inventus’ acquired Indian companies has gone on to become a valuable and important part of the operations of the acquiring company, reinforcing our belief that we’re able to identify entrepreneurs who build companies that last and create long-term value,” it said.