Prime Venture Partners overshoots target to raise $120 mn for Fund IV

Early-stage venture capital fund Prime Venture Partners announced the final close of its fourth fund at $120 million, overshooting its initial target of raising $100 million. 

Besides its core focus areas of fintech, edtech, healthtech, consumer Internet and global Software as a Service (SaaS), the investment firm will look to expand its portfolio into new sectors such as electric vehicles (EVs), business-to-business (B2B), Web3 and gaming infrastructure platforms, the company said in a statement.  

International Finance Corporation (IFC), part of the World Bank Group; a university endowment; a Fund of Funds and several global technology entrepreneurs have invested in the fourth fund in addition to existing limited partners. 

With the final close of fourth fund, the total capital under management across all Prime VP funds has exceeded over $250 million. 

The company has invested 32 companies from its previous three funds, and claims that Fund I has delivered over 4x return to all of its LPs. Its portfolio includes Sunstone, MFine, MyGate, Bolt, Niyo, Ezetap, Freo (Moneytap), and KredX. Prime also saw three acquisitions in the past 12 months such Happay by Cred, Recko by Stripe, and Perpule by Amazon. 

“With Fund IV, Prime VP is well-positioned to back a new group of category-defining technology start-ups and inspiring entrepreneurs in India. Fund IV is already off to an exciting start and we couldn’t be more optimistic about the depth of the entrepreneurial talent and increasing level of ambition among the founders in India," Amit Somani, managing partner, Prime Venture Partners, said. 

Led by Somani, Sanjay Swamy and Shripati Acharya, the company said more than 90 per cent of the companies it back at the seed stage go on to raise follow-on capital within 18 months.

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