Chiratae Ventures, an early stage venture fund focusing on Indian start-ups, will raise USD 20 million from the International Finance Corporation (IFC).
Chiratae, previously known as IDG Ventures, invests in consumer media and technology, health tech, software/ SaaS and fintech firms. "IFC's own account equity will provide patient risk capital to the GP, assisting the fund in achieving its first close. Investment from a lifecycle investor like the IFC will position the Fund to have better access to co-investment and follow-on capital for its investee companies," said IFC.
Chiratae Ventures International Fund IV LLC is a private limited liability company with limited life incorporated under the laws of Mauritius. Chiratae Ventures Master Fund IV is an India domiciled Category I Alternate Investment Fund (AIF) - collectively referred to as Fund IV. Chiratae Advisors Co. Limited. (Investment Advisor) will be the manager. The investment advisor is wholly owned by Chiratae Ventures India Advisors Private Limited an Indian private limited company, Business Standard reported.
The fund would help early state technology companies to access equity, increased investee growth, which will be supported by the fund's value creation strategies; and increased access to digitized products/services for investees' customers, particularly in non-tier 1 cities. In the context of a relative active VC fund market in India, the project's contribution to market creation is assessed as moderate and includes increased integration of the Indian VC market by bringing in more domestic and international LPs, said IFC.