AUM Ventures Sets Up VC Fund For Indian Startups

SUMMARY

With this fund, AUM aims to bring its Indian portfolio companies to the UAE and further help them set up their regional base at ADGM

AUM works with startup founders to help them start their regional operations and also raise follow-on capital from global investors to facilitate market expansion

It has invested in 11 startups including Skyroot Aerospace, Smiles.ai, GlobalFair, Swish, LemmeBe, NewMe, Esports XO, Fenix, Myways.ai, Krayonnz and FirstSense

Venture capital firm AUM Ventures has launched its maiden VC fund for Indian startups.

With this fund, AUM aims to bring its Indian portfolio companies to the UAE and further help them set up their regional base at ADGM. It will also invest in nascent sectors that have gained investors’ interest.

AUM connects Indian startups with global markets. It works with startup founders to help them start their regional operations and also raise follow-on capital from global investors to facilitate market expansion.

AUM is regulated by Abu Dhabi Global Market (ADGM). The early and pre-growth stage VC firm backs tech-enabled and consumer-focused Indian startups.

“AUM Ventures aims to bring global best practices and strategic resources to Indian founders while creating synergies for global investors looking to tap into India’s dynamic digital economy. Our investing strategy is designed to increase the magnitude of success and generate greater risk-adjusted returns for our investors,” said Chetan Mehta, founding partner of AUM Ventures.

Led by founding partner Chetan Mehta, AUM has invested in 11 startups including Skyroot Aerospace, Smiles.ai, GlobalFair, Swish, LemmeBe, NewMe, Esports XO, Fenix, Myways.ai, Krayonnz and FirstSense.

AUM has offices in Abu Dhabi, Bengaluru, and Mumbai. It claims that many of its portfolio companies have received follow-on capital from institutional investors.

Chetan Mehta’s family office has a global portfolio of more than 60 startups across India, Israel, UAE, and the US. He is also an angel investor and backed more than 30 startups.

“We are excited to partner with AUM Ventures as they build a thriving platform to connect Indian founders with the vibrant and trusted ecosystem at ADGM. This partnership will also enable local investors and family offices to get access to the dynamic and evolving Indian venture capital space with a trusted partner in AUM Ventures,” said, Arvind Ramamurthy, chief of markets at ADGM.

According to the VC firm, India has surpassed the UK as the fifth global economy and also projected a growth rate of more than 6%. India is anticipated to become the third-largest economy by 2030. Its GDP is set to cross over $8 Tn along with its GDP per capita doubling by 2030.

The fund has been launched at a time when Indian startups are seeing an economic slowdown. Besides, funding crunch, negative market sentiment and market inflation are some other micro factors that are hampering startups growth.

Despite this, a slew of VC funds have been launched recently to back early and growth-stage startups. SphitiCap’s $500 Mn VC fund, Avataar Venture Partners’ $350 Mn fund, Artha Group’s INR 450 Cr micro VC fund and Fireside Ventures’ $225 Mn fund are some VC funds launched recently.