Nandan Nilekani-backed Fundamentum plans Rs 1,800-2,500 crore Fund III to double down on growth

Nandan Nilekani-backed Fundamentum plans Rs 1,800-2,500 crore Fund III to double down on growth-stage startups

Fundamentum Partnership, the venture capital firm founded by Infosys co-founder Nandan Nilekani and former Helion Venture Partners executive Sanjeev Aggarwal, plans to launch its third fund with a Rs 1,800 crore to Rs 2,500 crore corpus, sources told Moneycontrol.

To be sure, the firm is in the planning stage and awaits regulatory approvals for the new vehicle, sources said.

Fund III will continue Fundamentum's investment strategy and focus on early growth-stage and Series B companies.

The new fund will retain the firm's focus on sectors such as consumer internet and fintech. It will target startups that have achieved product-market fit and are entering the scale-up phase.

Nilekani and Aggarwal launched Fundamentum's maiden fund in 2017 with an initial corpus of about $100 million. The fund backed companies including PharmEasy and Spinny, which later became unicorns.

In 2022, Fundamentum raised $227 million for Fund II. The firm said at the time that it would invest in four to five companies annually and lead or co-lead rounds of $25 million to $40 million. Fund II maintained the firm's focus on technology-driven businesses and growth-stage companies.

Also Read: Nandan Nilekani’s Fundamentum Partnership raises $227 million in second fund

Fund III will largely mirror the strategy of the previous vehicle, sources said. The firm has not yet finalised anchor limited partners for the fund.

The upcoming vehicle will remain separate from F2A, or Fundamentum Frontier Advisors, an AI and deeptech-focused platform that the firm recently launched. F2A operates independently and targets frontier technologies, while Fund III will continue Fundamentum's core strategy of investing in scaling startups.

Also Read: Fundamentum’s Ashish Kumar launches new Rs 2,000 crore deep tech and AI investment vehicle F2A

Fundamentum joins several venture firms that have returned to the market amid improving funding conditions and renewed investor appetite for growth-stage technology companies in India.

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