It has been more than a year since the online crowdfunding platform, AngelList introduced Syndicates to the Indian market and now the company is planning to roll out its own fund in the country dubbed as ‘The Collective’ and it has the backing of some of the big names in the industry, according to a report by The Economic Times. India is the first country outside the U.S. to get such a launch.
Some of the important names in the sponsors’ list include Flipkart’s founder Binny Bansal, Salil Deshpande of Bain Capital Ventures and atrix Partners’ Avnish Bajaj, Tarun Davda and Vikram Vaidyanathan, Navroz Udwadia of Falcon Edge Capital, DST Global’s Rahul Mehta and venture funds like Kalaari Capital, FJ Labs, Beenext among others.
The Syndicate is likely to back 60 to 80 companies over the next 12-18 months and it will deploy around $150,000 per deal. Since its launch a year ago, the platform has had 15 syndicate leads and invested over $5 million across 50 Indian startups which include the likes of BharatPe, Hala-Play, Yulu Bikes and Open Bank.
Speaking to ET AngelList founder Naval Ravikant said:
“India is our fastest growing international region. We have great access— seven markups in less than a year and set up this fund to let institutional capital back our top India syndicate leads.”
As per the report, investment committee of the Syndicate would include Utsav Somani, partner, AngelList India, Pankaj Jain, ex-partner, 500 Startups India and Nipun Mehra, who was formerly with Sequoia Capital, Flipkart, and Pine Labs.
“We wanted to empower our syndicate leads, who source allocations in hot investment rounds, to deliver institutional capital to talented entrepreneurs. This is not like a typical VC fund that’s driven by management fees. By 2020, we will target larger institutional sources,” Somani told ET.
As of now, the company has managed to raise $9 billion in follow up funding and has deployed nearly $1.09 billion in over 3100 startups which speaks volumes of the initiative. In the U.S. AngelList runs Access fund which is in its fourth edition.
Source: The Economic Times