Stellaris Marks Close Of Third India-Focused Fund At $300 Mn

Venture capital firm Stellaris Venture Partners, which has backed companies, including Mamaearth, Whatfix, Propelld, Turno, Dashtoon and Kiwi among others, has marked the final close of its third India-focused fund at $300 Mn (around INR 2,534 Cr).

The new fund will continue to lead seed and Series A funding investments across 25-30 startups over the next three years, the VC firm said in a statement.

Stellaris plans to use the fresh capital to back these startups across sectors, including artificial intelligence, enterprise software, consumer technology and financial services among others.

The sector agnostic firm also announced key leadership changes, with Naman Lahoty, formerly a principal at the firm, promoted to partner. Besides, Vardhan Dharnidharka, an AI/ML engineering leader, has joined as an investment principal and relocated to Bengaluru.

The new fund brings the VC firm’s total assets under management (AUM) to more than $600 Mn. 

The third fund saw participation from existing Limited Partners (LPs) as well as new commitments from global investors, including university endowments, foundations, pension funds and reputed fund of funds, the statement added.

“India’s startup ecosystem has transformed since we started our fund, with a 4X growth in the deal flow and a rise in repeat entrepreneurs and founders from successful startups. With this new fund, we are excited to back founders using technology to solve deep problems in large markets,” said Rahul Chowdhri, partner at Stellaris Venture Partners.

Founded by former Helion Ventures partners Ritesh Banglani, Alok Goyal and Chowdhri, Stellaris counts software giants Cisco and Infosys, along with the World Bank’s International Finance Corporation, among its LPs and backers.

Since its launch in 2017, the VC firm has built a portfolio of over 40 companies across sectors such as SaaS, consumer, financial services, B2B commerce, education, mobility and healthcare.

Stellaris claims to have invested in 44 tech startups across two funds, with 60% being inception-stage businesses. 

Earlier this year, the VC firm offloaded a 1% stake in Mamaearth’s parent entity, Honasa Consumer Limited, via an open market transaction, valuing the total deal at INR 140.61 Cr.

In August 2021, Stellaris Venture Partners announced the closing of its second fund at $225 Mn.

According to data from the National Stock Exchange (NSE), the VC firm, through its affiliate Stellaris Venture Partners India I, sold 32,17,468 shares of Honasa Consumer Limited. 

The deal took place at an average price of INR 437.04 per share, resulting in a transaction value of INR 140.61 Cr. 

Following the transaction, Stellaris Venture Partners’ shareholding in Honasa Consumer was reduced to 4.78%, down from its previous 5.78% stake.