Physis Capital Raises Over INR 200 Cr For Maiden Fund

SUMMARY

Physis Capital’s maiden fund has a target corpus of INR 400 Cr

The fund targets investment in the range of $1-1.5 Mn initially, with follow-on cheques of $1-4 Mn for high-performing portfolio companies

The fund aims to build a portfolio of 15 to 20 startups operating in the fintech, SaaS, enterprise tech, edtech, deeptech and logistics sectors

Physis Capital, a venture capital firm launched by the founders of Inflection Point Ventures, has raised over INR 200 Cr as part of its INR 400 Cr maiden fund.

The fund secured commitments from institutional investors, including SUD Life, which is a joint venture between Bank of India, Union Bank of India, and Japan’s Dai-ichi Life Holdings. Others who have committed to the fund include eyecare chain Narayana Nethralaya and family offices of Haldiram and Lotus Holdings.

Physis also said it expects to make the fund’s final close in the next six to nine months.

The VC firm launched its maiden fund in 2022 with a target of raising $50 Mn and marked the first close in May 2023.

The fund aims to build a portfolio of 15 to 20 startups operating in the fintech, SaaS, enterprise tech, edtech, deeptech and logistics sectors. It focuses on startups from Pre-Series A to Series B and targets investment in the range of $1-1.5 Mn initially, with follow-on cheques of $1-4 Mn for high-performing portfolio companies.

It has already invested in three startups, including edtech platform CTPL, steel fabrication solutions company Ben & Gaws and regional language OTT platform STAGE.

Vinay Bansal, general partner at Physis Capital, said, “At present, we have eight deals in the pipeline and are confident about issuing term sheets for 3–4 of them in the coming months. These investments are expected to close within the next 2 quarters. The pipeline spans diverse sectors, including healthtech, fintech, consumer brands, and quick commerce.”

Physis Capital was launched by Bansal, Ankur Mittal and Mitesh Shah. The VC firm invests in early stage and growth stage startups. Along with capital, it claims to provide technical, operational, and strategic mentorship to startups.

The development comes at a time when a host of new India-focussed funds have been announced. According to Inc42’s ‘Indian Tech Startup Funding Report, Q1 2025,’ 23 funds have been launched worth over $3.2 Bn in the March quarter.

Some of the notable funds launched this year include the likes of Accel Capital’s Fund VIII which raised $650 Mn this year, Avendus’ Fund III which has a corpus of $350 Mn and a greenshoe option of INR 1,500 Cr and Bessemer Venture Partners’s second India-focussed fund which has a target corpus of $350 Mn.