Indian venture capital firm Physis Capital has successfully raised $23.2 million for its maiden fund, marking a significant milestone in its mission to support growth-stage startups in India. The fund, backed by prominent investors like SUD Life and Haldiram's, aims to empower innovative companies with cutting-edge technology and scalable business models.
Founded by industry veterans Vinay Bansal, Ankur Mittal, and Mitesh Shah, Physis Capital is targeting investments in 15-20 high-impact startups by mid-2025. The firm plans to deploy capital in the range of $1 million to $1.5 million per startup, with the potential for top-up investments of up to $4 million for promising ventures.
The focus of Physis Capital lies in tech-driven companies across Pre-Series A to Series B stages, sectors that are poised to address large-scale challenges in India’s rapidly evolving market. This strategic investment approach is expected to catalyze innovation and growth in key industries.
With over INR 200 crore already secured, Physis Capital is on track to close the remaining portion of its INR 400 crore target within the next 6 to 9 months. This financial backing underscores growing investor confidence in India’s startup ecosystem despite recent funding challenges.
The fund’s launch comes at a critical time when Indian startups are navigating a funding slowdown, with venture capital inflows dropping significantly in 2024. Physis Capital’s commitment to supporting emerging businesses could provide a much-needed boost to the ecosystem.
As Physis Capital rolls out its investment strategy, the industry watches closely to see how its portfolio companies will shape the future of innovation in India. This development signals a renewed optimism for growth-stage funding in the country.
Alfred Lee
