Mumbai Investment Firm Eyes Record-Breaking Fund for Growth Companies

A91 Partners, a Mumbai-based investment company known for backing successful startups like Digit General Insurance and Sugar Cosmetics, is reportedly in the process of raising its biggest fund ever. The target amount sits between $700 million and $750 million.

This substantial new fund will allow A91 Partners to significantly increase its investment per venture, aiming for a range of $35-40 million. Their focus will remain on companies demonstrating strong growth potential and a smart use of capital, spanning various industries.

Building a Strong Track Record

Founded in 2018 by former Sequoia Capital India executives, A91 Partners has carved out a distinct space in the venture capital world. They primarily focus on mid-stage startups in the technology, consumer goods, financial services, and healthcare sectors.

The firm started with a $351 million fund, followed by a successful second fund raising $550 million. Their strategic approach has led to profitable partial exits from investments like Atomberg, a technology company, and Pushp, a spice maker.

Standing Out in a Competitive Market

A91 Partners’ fundraising efforts coincide with a similar trend among other prominent Indian investment firms like ChrysCapital and Kedaara Capital. While there has been a slowdown in payouts from tech-focused venture funds, diversified firms like A91 Partners continue to attract significant interest from global investors due to their track record of consistent and reliable returns.

Investment Philosophy and Future Outlook

A91 Partners prioritizes backing companies that demonstrate both capital efficiency and strong growth potential across various sectors. The anticipated increase in their fund size will allow them to write larger investment checks, strengthening their position in the market.

Their portfolio boasts notable investments in companies like Digit Insurance, which is expected to go public soon, alongside other established ventures like Sugar Cosmetics and Atomberg Technologies.