Second Indian Angel Network Alpha Fund marks the first close

SUMMARY

IAN will make early-stage investments across sectors like cleantech, healthtech, fintech, deeptech, spacetech, consumer, agritech, cybersecurity, hardware and robotics

IAN launched the fund in 2022 and said that many names from its first fund had returned to the advisory board of the second fund

IAN claims to have already invested INR 900 Cr (around $108 Mn) in 250 startups with an overall valuation of approximately $9 Bn

Indian Angel Network (IAN), which has backed startups like Clensta, Spinny, Sattuz, Astrome and Dhruva Space, announced the first close of its second venture capital fund at INR 355 Cr ($42.5 Mn).

The IAN Alpha Fund has a target corpus of INR 1,000 Cr ($119 Mn).

In a statement, IAN said it would invest in early-stage startups across sectors like cleantech, healthtech, fintech, deeptech, spacetech, consumer, agritech, cybersecurity, hardware and robotics from the second fund.

IAN claims to have already invested INR 900 Cr (around $108 Mn) in 250 startups with an overall valuation of approximately $9 Bn.

“The Alpha Fund will be instrumental in achieving our vision of investing in over 500 startups and creating 5,000,000 jobs by 2030, nurturing a thriving ecosystem, and driving substantial economic growth while shaping a brighter future for the entrepreneurial landscape in India,” said IAN’s cofounder Saurabh Srivastava.

“We intend to not only focus on India’s metros to harness but also have a keen eye on Tier-II and III cities, where untapped potential and creativity abound and where we have already had some great successes. Female founders will also be an area of focus,” said IAN’s cofounder Padmaja Ruparel.

IAN announced the launch of the fund in 2022 and said that many names from its first fund returned to the advisory board of the second fund.

IAN was launched in 2006 by Ruparel, Srivastava, and Raman Roy to help angel investors come together to back early-stage startups.

Despite the ongoing funding winter, a number of new India-focussed funds have been launched this year and many investors have announced close of their funds.

Last week, early-stage venture capital firm Sprout Venture Partners announced the first close of its second fund at $10 Mn.

Last month, Pantomath Financial Services Group announced the final close of its pre-IPO fund, India Inflection Opportunity Fund (IIOF), at $60 Mn.

According to Inc42’s analysis, funds worth over $5 Bn have been launched for investments in Indian startups this year. Of this, 46% of the funds solely focus on early-stage startups.