Indian Startups Ecosystem Funds: Physis Capital announces first close of $50 mn fund for start-ups

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Physis Capital, a growth investment fund, on Tuesday announced the first close of its $50 million fund at $7 million as it works to final close in 2024. The fund is expected to start investing by the third quarter of this calendar year, backing Startups looking to raise capital from Pre-Series A to Series B Physis Capital’s announcement comes at a time when the Indian startup ecosystem is seeing a slowdown in funding. According to data from Tracxn, a market intelligence platform, startup funding in the first quarter of 2023 fell 75 percent year-on-year to $2.8 billion. “We’ve seen that investor interest has remained consistent with regards to startup investments in the Indian startup ecosystem. Smart Money,” said Ankur Mittal, Partner at Physis Capital, “smart money.” Seasoned investors understand that downturns are the best times to identify and invest in great companies. “Hence, we have received good interest in the past few months, especially from new investors who are backing GPs and investing with us for the first time, given our proven track record,” Mittal said. ​​Ticket size of $2.5 million. Its fund will focus on identifying companies that have a solid business model and are likely to deliver sustainable returns in the long term.” While the majority of funds raised by Physis Capital so far are from Indian investors belonging to HNIs and family offices We are now receiving significant interest from investors across multiple international locations including Singapore, USA and UAE. “Besides these international funds, we’re on the way to fundraising from institutions and roll-outs,” said Mitch Shah, partner at Physis Capital. Vinay Bansal, Partner at Physis Capital, said, “Our biggest strength will continue to be the support we provide to our startups post-investment – ​​helping them attract quality talent, build partnerships, generate revenue opportunities, strong focus on cost management and compliance, and support future equity and debt funding rounds using The deep relationships that have been built with the various stakeholders in the startup ecosystem.”