Inventus Capital closes maiden India-focused fund at $52m: Report

Inventus Capital India team Rutvik Doshi, Parag Dhol, and Samir Kumar

Inventus Capital India has made the final close of its maiden fund at Rs369 crore ($52 million), exceeding an initial target of Rs325 crore ($46 million), according to a Times of India report.

The fund is Inventus Capital Partners‘s third overall and its first India-dedicated fund. It was launched following the split of the India team from the US team in 2017. It will be managed by the India team comprising Parag Dhol, Rutvik Doshi, and Samir Kumar.

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.

About 70 per cent of the corpus for the third fund was raised from investors in India. According to the report, it received the backing of several entrepreneurs and investors, including MakeMyTrip’s Deep Kalra, K Ganesh of GrowthStory, Matrimony’s Murugavel Janakiraman, and Bigbasket’s Hari Menon. redBus co-founder Phanindra Sama also invested in the fund.

The fund made its first close of Rs175 crore ($25.4 million) in August 2018, with Small Industries Development Bank of India (SIDBI) committing 25 per cent of the money in the fund.

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.

“We have an entrepreneur first approach and this is paramount in our decision making. We prefer backing entrepreneurs building businesses based on capital-efficient models,” the firm said.

The close of Inventus Capital India’s first fund comes as PE and VC investments into India touched an all-time high of $36.7 billion in the first eight months of 2019, surpassing the previous record of $36.5 billion in 2018, according to a report by the Indian Private Equity and Venture Capital Association and consulting firm EY.