Mumbai-based investment firm A91 Partners, known for its backing of successful startups like Digit General Insurance, Sugar Cosmetics, and Atomberg Technologies, is in the process of raising its largest fund yet, targeting between $700-750 million. According to reports from ET, the new fund will enable A91 Partners to expand its investment range to $35-40 million per venture, with a focus on growth-oriented, capital-efficient businesses spanning various sectors.
Founded in 2018 by former executives of Sequoia Capital India, A91 Partners has distinguished itself in the venture capital arena by specializing in mid-stage startups across technology, consumer goods, financial services, and healthcare. The firm embarked on its journey with a $351 million fund, followed by a $550 million second fund, leading to successful partial exits from investments such as Atomberg and spice maker Pushp.
A91 Partners’ fundraising endeavors coincide with similar initiatives by other major players in the domestic investment landscape, such as ChrysCapital and Kedaara Capital, who are also gearing up to secure substantial funds. Despite a slowdown in cash distributions from tech-focused venture funds, diversified investment firms like A91 continue to attract significant interest from global sponsors, thanks to their track record of stable and consistent returns.
A91 Partners’ investment philosophy prioritizes companies that exhibit capital efficiency and growth potential across diverse sectors. With the anticipated increase in fund size, the firm aims to bolster its average investment contributions, further cementing its position in the market.
Noteworthy ventures in A91’s portfolio include Digit Insurance, poised for a potential public offering, alongside other impactful investments like Sugar Cosmetics and Atomberg Technologies.