scorecardresearch
Inflection Point Ventures to launch $50 mn fund to back early-stage start-ups

Inflection Point Ventures to launch $50 mn fund to back early-stage start-ups

The fund will participate/lead investments in start-ups looking to raise Pre-Series A to Series B capital.

Inflection Point Ventures to launch $50 mn fund to back early-stage start-ups Inflection Point Ventures to launch $50 mn fund to back early-stage start-ups

Early-stage start-up focused investment firm Inflection Point Ventures (IPV) will soon launch its $50 million fund to invest in 15-20 start-ups. The fund, which is named Physis Capital, will have partners including Vinay Bansal, Mitesh Shah and Ankur Mittal, who had successfully launched the firm's earlier funds, the company said.

 
Physis Capital will have a corpus of $50 million with a green shoe option of another $25 million and aims for its first close at $20 million. Physis Capital will participate/lead investments in start-ups looking to raise Pre-Series A to Series B capital.

In India, their incorporation of angel funds has seen an acceleration with the investors betting huge on early-stage ventures as adoption of technology increased during the pandemic.

Physis Capital said that it aims to build a portfolio of 15 — 20 start-ups with an average ticket size of $2.5 million. Physis Capital will start deploying capital post the first close. Physis Capital is in the final stage of the registration process and is awaiting approval from the Securities and Exchange Board of India.

 
“As an angel platform, we have led some of the most well-known and big seed and Series A rounds. Our aim is now to solidify our leadership position in the growth capital investment segment. This fund is for investing in select Pre-Series A to Series B start-ups, to enable their success through an integrated ecosystem, consisting of technical, operational, business and strategic mentorship and support along with funding,” Bansal said.

 

The fund is looking to invest across sectors, including vertical commerce, consumer tech, social/content creator, B2B SaaS and enterprise tech. Physis Capital will also identify multibaggers from its IPV portfolio and back them. Up to 50 per cent of the fund size will be deployed in backing proven winners from the IPV portfolio.

 
“We have built robust practices at IPV. Our due diligence is considered a benchmark in the industry and well respected by even the strongest VC firms. On the start-ups’ side, we have deep relationships with top e-cells, incubators and other angel networks, which makes us confident of high-quality start-ups inflow. These factors backed by our study of the growth of Indian start-ups and strong confidence restored in us by our existing investors played a role in taking a step to launch a structured VC fund,” Mittal said.