Singularity AMC Closes Fund II At INR 2,000 Cr

SUMMARY

22% of the fund’s capital came from institutional investors, including domestic DFIs, public and private banks, insurance partners and endowments

The fund focuses on sectors of energy transition, differentiated manufacturing, consumer brands, financial services and healthcare

Singularity marked the first close of the fund at INR 500 Cr in October 2023

PE firm Singularity AMC has closed its second fund, Singularity Growth Opportunities Fund II, at INR 2,000 Cr ($235 Mn) to back growth stage and pre-IPO startups.

The investment firm, in a statement, said that 22% of the fund’s capital came from institutional investors, including leading domestic development finance institutions (DFIs), public and private banks, insurance partners and endowments.

There was also strong participation from large family offices, who doubled down post their participation in the first fund, it added.

“Deployment is already underway, with 52% of the fund’s capital committed with a robust pipeline,” Singularity said.

In a post on LinkedIn, Sandeep Bapat, co-chief investment officer at Singularity, said, “We are actively investing from the fund in our focus sectors of energy transition, differentiated manufacturing, consumer brands, financial services and healthcare.”

Notably, the investment firm marked the first close of the fund at INR 500 Cr in October 2023.

Founded in 2021, Singularity AMC is led by Yash Kela and is promoted by former Reliance Capital executive Madhusudan Kela-founded family office Singularity Ventures, which began operations in 2016. It launched its first fund of INR 560 Cr in 2021 and invested in 17 companies, including the likes of Allcargo Logistics and Jana SFB

Kela previously told Inc42 that the firm deploys up to 20% of the corpus in growth stage startups, 20% in pre-IPO companies, and about 40% corpus as growth equity for companies where it has held stake for around four years.

From the second fund, Singularity has backed dairy startup Akshayakalpa, EV battery startup Lohum, data centre EPC (engineering, procurement and construction) player Edville DC, Mahindra’s premium bike subsidiary Classic Legend, commercial EV manufacturer Qucev, among others.

The operator-investor-led growth PE platform aims to invest INR 75 Cr to INR 200 Cr in 16-18 businesses via the second fund.

Singularity launched its first fund of INR 560 Cr in 2021, which was closed two years later, and is fully deployed across 17 companies, with 16 being private equity investments and one listed company.