July 21, 2024: Promaft Partners, a newly launched venture capital firm, has unveiled an ambitious Rs 1,000 crore fund aimed at giving impetus to the Indian startup ecosystem. This fund, supported by prominent Indian family offices and startup luminaries, marks a strong investment approach in the realm of early-stage investments.
Founded by Raghav Bahl, former head of Investments at Alibaba Group India, and Soham Avlani, ex-partner at 9Unicorns, Promaft Partners operates as a sector-agnostic fund poised to make substantial impacts. With plans to deploy capital into 10-12 promising ventures, the firm aims to replicate past successes where their portfolio, including Swiggy, Paytm, and PharmEasy, yielded over $1 billion in profitable exits.
The name ‘Promaft‘ encapsulates their core philosophy—prioritizing product-market fit. Leveraging extensive global investment experience across China, Southeast Asia, and Europe, the founders intend to empower startups by refining their go-to-market strategies, business models, and operational frameworks.
Promaft to foster growth that drive long-term shareholder value
“Investing in growth without a solid product-market fit is akin to steering in the wrong direction,” remarked Raghav Bahl. “Our approach encourages sustainable growth and fosters competitive advantages that drive long-term shareholder value.”
Backing from industry giants such as Paytm, Zomato, and Browserstack, who also serve as mentors, underscores Promaft Partners’ commitment to nurturing entrepreneurial talent. These seasoned entrepreneurs will play pivotal roles in guiding and scaling the fund’s portfolio companies.
Reflecting on the current investment landscape, Promaft Partners identifies the present era as a ‘double trophy’ opportunity. Following a phase of inflated valuations and excessive capital pursuit, driven by high growth imperatives, the market now favors capital-efficient and fundamentally robust businesses.
“We see this as an opportune moment where prudent investments can yield compelling risk-return profiles,” noted Soham Avlani. “The recalibration in valuations coupled with our strategic mentorship can truly catalyze sustainable growth for our partners.”
Promaft Partners‘ entry into the VC arena promises to redefine venture capital dynamics in India, fostering innovation and resilience within the startup community. As they embark on this journey, their blend of strategic foresight and operational expertise positions them uniquely to shape the future of entrepreneurship in the region.
