35 North Bags INR 100 Cr For Its Second AIF

Mumbai-based early stage investor 35 North Ventures, which counts CloudTailor, SpeEdLabs, Big Bang Boom and Stupa Sports Analytics among its portfolio companies, has secured INR 100 Cr in its first phase of the newly launched CAT-1 AIF India Discovery Fund II.

The firm got SEBI’s in-principle nod for the fund in June.

The India Discovery Fund II has a total corpus of INR 500 Cr, with an additional greenshoe option of INR 100 Cr. It follows the first India Discovery Fund, which closed with over INR 130 Cr in March.

Sunil Gurbaxani, former CEO of Dhanlaxmi Bank and now partner at 35 North Ventures, will manage the fund. 

The firm plans to invest in 30-40 companies with cheque size ranging from INR 5-10 Cr.

Milan Sharma, founder and MD of 35 North Ventures, said, “The investment theme in the India Discovery Fund-II will be similar to the IDF-I.”

Founded in 2016, 35North Ventures focuses on early-stage investments in tech-enabled startups. The firm targets companies that are 1.5 to 2 years old with at least two quarters of revenue history.

The VC firm has invested in 16 companies across 10 sectors, mainly in Pre-Series A rounds. 

This when investors expect funding activity to pick up in the second half of the year. According to an Inc42 survey — “India’s Top Startup Investor Ranking H1 2024 Survey” — about 93% of over 50 startup investors see 2024 as a turnaround year for Indian startups. 

Supporting this deduction is the launch of several new funds in recent times. Earlier last month, Suzuki Motor subsidiary Next Bharat Ventures launched INR 340 Cr fund. In June, VC firm VentureSoul Partners launched its maiden debt fund, VentureSoul Capital Fund I, with a target corpus of INR 600 Cr.