IFC Plans ₹303.9 Cr Investment in A91 Partners’ Third Fund
The International Finance Corporation (IFC), the private lending arm of the World Bank, is planning an equity investment of up to about ₹303.9 crore into the venture capital firm A91 Partners’ third fund. This significant investment is expected to support the growth of India’s startup ecosystem, particularly in the technology and healthcare sectors.
According to a disclosure, IFC is also considering an additional co-investment of up to ₹260.5 crore into the new fund. This co-investment will enable IFC to participate in the funding rounds of A91 Partners’ portfolio companies, further strengthening its presence in the Indian startup landscape.
A91 Partners is a well-established venture capital firm that has been actively investing in Indian startups since 2019. The firm has a strong focus on investing in early-stage companies across various sectors, including fintech, healthtech, and edtech. A91 Partners’ previous funds have made significant investments in companies such as HealthifyMe, a popular health and wellness app, and PharmEasy, a leading online pharmacy platform.
The IFC’s investment in A91 Partners’ third fund is significant not only because of the size of the investment but also because of the potential impact it can have on the Indian startup ecosystem. The IFC has a long history of supporting entrepreneurship and innovation in India, and this investment is likely to further strengthen its commitment to the country.
In recent years, India has emerged as a hotbed for startup activity, with the country witnessing a surge in funding rounds and exits. The Indian startup ecosystem has attracted significant attention from global investors, with many prominent venture capital firms and private equity players setting up shop in the country.
The IFC’s investment in A91 Partners’ third fund is likely to support the growth of Indian startups in various ways. Firstly, the investment will provide A91 Partners with the necessary capital to invest in more startups, enabling the firm to continue its successful track record of identifying and backing promising early-stage companies. Secondly, the IFC’s involvement will bring a wealth of expertise and experience to the table, which will be invaluable to the startups in A91 Partners’ portfolio.
The IFC’s investment in A91 Partners is also likely to have a positive impact on the broader startup ecosystem. The IFC’s involvement will attract more attention to the Indian startup ecosystem, which will likely lead to increased interest and investment from other global investors. This, in turn, will create more opportunities for Indian startups to access capital and scale their businesses.
In conclusion, the IFC’s planned investment in A91 Partners’ third fund is a significant development for the Indian startup ecosystem. The investment will provide A91 Partners with the necessary capital to continue its successful track record of investing in early-stage companies, while also bringing a wealth of expertise and experience to the table. As the Indian startup ecosystem continues to grow and evolve, it is likely that this investment will have a positive impact on the broader ecosystem, attracting more attention and investment from global investors.
Source: https://inc42.com/buzz/ifc-mulls-65-mn-investment-in-a91-partners-third-fund/
