Matrix Partners to invest in 20-30 new ventures
The $150 million consumer services risk capital fund, Matrix Partners India, which closed on July 26, has decided to invest in some 20-30 new ventures over the next two to three years.
By PTI |
KOLKATA: The $150 million consumer services risk capital fund, Matrix Partners India, which closed on July 26, has decided to invest in some 20-30 new ventures over the next two to three years.
The fund was co-founded by Avnish Bajaj of bazee.com, Rishi Navani and Matrix Partners of the USA. The fund will now focus on new start-ups and growing business in a few specific services segment. Rishi Navani was formerly managing director of WestBridge Capital Partners.
Talking to ET, Mr Bajaj said, "Following closure of the fund we would now be selecting five to seven new ventures every year over the next two-three years. Matrix Partners would selectively invest in consumer driven ventures where clients of these ventures are necessarily the end users of the products or services rendered by these entities. Alternatively revenue earned has to directly come from the company's end users."
Mr Bajaj is the founding managing director of the fund. "Capital intensive businesses and businesses that do not cater to end users would be a strict no-no" he said.
"Nevertheless, we intend to fund entrepreneurs across consumer categories including financial services, travel & tourism, internet and mobile, entertainment services and healthcare. The quantum of fund being shelled out would range between $0.5 million to $10 million per entity" he added.
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About 60-70% of the fund has been raised from US-based universities and the rest from business family foundations which have a long term view on investments they undertake. "Hence the funding made, would be done with a long term view providing enough time to entrepreneurs to turn their ventures into successes" Mr Bajaj said. Start a SIP with as low as ₹500 with ET Money App!
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