Early stage seed fund and startup accelerator Axilor Ventures, founded by Infosys co-founders Kris Gopalakrishnan and SD Shibulal, on Tuesday launched a ₹200 crore technology-focused fund to invest seed money into early-age technology startups.
Called as “Axilor Technology Fund”, the new Category-I fund is expected to invest ₹3 crore in each investee company under Axilor’s portfolio, compared to its earlier ticket size of ₹1-3 crore. Nearly 50% of the new fund will be set aside for seed stage investments, while the rest will be used for pre-seed funding via its accelerator programme.
The Axilor Technology Fund will target enterprises, deep tech, artificial intelligence, consumer tech, fintech and healthtech companies in early-stage.
Axilor’s head of investments, Payal Shah, said that the new fund will work with early-stage tech start-ups in the first two to three years of its journey. “Most of the seed investees in the current portfolio are either bootstrapped or have raised an angel round. From a business perspective, they tend to have a fast-growing set of users and have established early signs of product market fit.”
According to Axilor, in India despite of the fact that several new funds being raised by existing and new VC firms in the past 12 months the Series A investments are currently going through serious crunch and emptiness. ‘Axilor Technology Fund’ aims to fill this gap and by funding more Series A start-ups in the next 12 months.
Gopalakrishnan, chairman of Axilor Ventures, said, “Axilor was set up with a vision to help early-stage startups improve the odds of success. The launch of Axilor Technology Fund is an important addition to the platform.”
Ganapathy Venugopal, CEO Axilor Ventures, said that in early-stage companies, the sole requirement is not just funding support. “Hence, a seed fund should be able to add value beyond capital. And, at Axilor, we have built the network that offers access to customers, investors and an active founder community.”
In the past three years, Axilor has made 38 investments, leading 17 seed rounds in enterprise and consumer-focused start-ups.
Axilor’s last investment was in Advantage Club, in which it led the $300K funding along with Ten Innovate, in January this year.
Additionally, it may be recalled that S Shibulal, one of the founders of Axilor, had launched EduMentum — an incubator for early-stage startups working in the space of offline education transformation.
Via – LiveMint