Nabventures launches maiden fund to back agri, food and rural start-ups

NEW DELHI: Nabventures, a subsidiary of NABARD, Monday announced its maiden fund to back agriculture, food and rural start-ups. The fund -- NABVENTURES Fund I -- with a proposed corpus of Rs 500 crore has a greenshoe option of Rs 200 crore and has received an anchor commitment from NABARD, Nabventures said in a release.

The National Bank for Agriculture and Rural Development (NABARD) is a development finance institution.
"The fund plans to raise the resources from a mix of domestic as well as global investors. The fund is registered with SEBI as a Category II Alternative Investment Fund," it said. NABARD Chairman Harsh Kumar Bhanwala said the fund is expected to provide a big boost to the investment ecosystem in the core areas of agriculture, food and improvement of rural livelihoods in India.


The impact potential of NABVENTURES Fund I is very high, he added. As per the release, NABARD has contributed to 16 other alternative investment funds with an overall capital commitment of Rs 273 crore so far.

Nabventures marks the foray of NABARD into direct management of alternative investment funds with a clear focus on the agri-related ventures. Nabventures is scouting for equity investments in asset-light, innovative, technology-led start-ups in its focus areas.