September 6, 2024: VentureSoul Partners, a Mumbai based venture debt firm, has announced the successful first close of its inaugural Rs 600 crore fund. This milestone achievement comes as the firm nears 50% of its targeted fund size, following the fund’s launch in Q2 2024.
The newly established fund is structured to provide debt investments to companies at the Series A stage and beyond. The focus is on high-growth sectors including fintech, B2C, B2B, and SaaS industries. According to a recent statement from VentureSoul Partners, the fund will support startups with proven business and revenue models.
According to the company The New Economy client group has been reliant on equity until now. On average, venture debt funding in India is ~3% of the venture funding per annum, whereas in more mature markets it is ~13-15%.
VentureSoul Partners is bullish about strong macro tailwinds and the rapid digitization in India
VentureSoul Partners aims to empower these startups with essential growth capital. The firm’s founders – Anurag Tripathi, Ashish Gala, and Kunal Wadhwa – plan to expand their operations in response to this successful fund raise. With their extensive banking backgrounds, the founders are set to offer a unique debt financing proposition tailored for the new-age economy.
A recent report by Stride Ventures highlights a significant surge in venture debt investments within Indian startups, showing a 50% increase in 2023 to $1.2 billion. The report also notes approximately 175-190 deals in 2023, reflecting a robust compounded annual growth rate of 34% from 2017 to 2023.
VentureSoul Partners’ fund has already attracted notable participation from startup founders, including E Madhusudan of KreditBee and Omkar Shirhatti of Perfios. The SEBI-registered Category II AIF has garnered commitments from a diverse group of investors, including family offices, corporates, high-net-worth individuals (HNWIs), professionals, and leading angel investors.
Prominent corporate investors such as Micro Labs, Rupa Group, Glen Appliances, and PSN Group have also contributed to the fund’s success.
