IVY Growth Associates Rolls Out INR 250 Cr Fund

SUMMARY

It will invest in startups across various emerging sectors, including agritech, cleantech, GenAI, fintech, consumer brands and software-as-a-service (SaaS) companies

It will focus on startups beyond the seed stage or in pre-Series A stages, with an average ticket size of $500,000 (around INR 4 Cr)

Arigato Capital plans to begin raising capital in June, with targets to make investments over the next 15-18 months. It aims for a first close at INR 100 Cr

Surat-based micro venture capital firm IVY Growth Associates, which counts Rupeek, BluSmart, Zypp Electric, Bummer and Zappfresh among its portfolio companies, has rolled out a SEBI-registered category I AIF venture capital fund with a target corpus of INR 250 Cr (around $29 Mn).

The sector-agnostic fund, Arigato Capital, will invest in startups across various emerging sectors, including agritech, cleantech, GenAI, fintech, consumer brands and software-as-a-service (SaaS) companies.

It will focus on startups beyond the seed stage or in pre-Series A stages, with an average ticket size of $500,000 (around INR 4 Cr).

Arigato Capital plans to begin raising capital in June, with targets to make investments over the next 15-18 months. It aims for a first close at INR 100 Cr.

Arigato Capital was floated by IVY Growth Associates’ founders Prateek Toshniwal, Rachit Poddar, Mehul Shah and Sharad Todi, with IVY Growth serving as a limited partner (LP).

Through Arigato Capital, IVY Growth aims to create and grow a global network that connects angel investors and startups, with a focus on the Middle East, US and Europe.

Founded in 2021, IVY Growth Associates claims to have invested in over 100 growth-stage startups. The firm has deployed INR 20 Cr from its fund and utilised INR 80 Cr from syndicate funds within its network.

It has made 10 investments to date and has had one exit with Trainman.

Despite the decline of overall funding in startups in 2023, this year has witnessed several fund launches with a large corpus.

For instance, VC firm Endiya Partners was reported to launch its third fund for a corpus ranging between INR 800 Cr and INR 1,000 Cr ($100-$125 Mn) earlier this year.

Additionally, Cornerstone Ventures has launched its second fund, with a target corpus of $200 Mn, including a green-shoe option.

In 2023, there was an overall announcement and launch of 64 funds, including venture capital funds, micro-funds, and corporate VC funds amounting to over $5.6 Bn.