Xponentia Capital’s Second Fund Raises INR 365 Cr To Back 8-10 Startups

Private equity company Xponentia Capital Partners has completed the first closure of its second fund, Xponentia Opportunities Fund 2 after securing INR 365 Cr from limited partners (LPs). 

According to the ET report, under the second fund, Xponentia will invest up to INR 100 Cr in 8-10 startups. 

Xponentia is planning to raise an additional INR 750 Cr for the final closure of the fund. It is anticipated to close the fund before December this year.

Limited partners or investors that have backed the fund are Indian corporates, HNIs and family offices. 

Founded by PR Srinivasan and Devinjit Singh, the Mumbai-based private equity company invests in startups that work in finance, healthcare, consumer and B2B sectors. Other criteria that it follows while shortlisting startups for investment includes analysing the business models, checking if these companies can make INR 30-35 Cr in EBITDA (earnings before interest, tax, depreciation, and amortisation) among others.

This year, Xponentia Capital reportedly participated in a $40 Mn funding round of electric vehicle manufacturer Altigreen along with Sixth Sense Ventures, Accurant International, Momentum Venture Capital and Reliance Industries Ltd.

In 2021, the PE company infused nearly $5 Mn in the babycare product startup, R for Rabbit and also led a Series A funding round of fintech startup Easy.

During the same time period, it reportedly closed its first fund at INR 400 Cr. In the first fund, it backed about eight startups.

Some of its portfolio companies include Flight Simulation Technique Centre, Barbeque Nation, R4Rabbit, Easy Home Finance, Medsource and Altigreen.

As per report, a total of 78 funds were founded to back Indian startups in the first half of 2022. These funds raised over $12.8 Bn in aggregate to back homegrown startups.

Recently, LetsVenture’s cofounder Shanti Mohan rolled out a VC fund Propell to invest INR 50 Cr in 30 early-stage startups that work in diverse sectors such as ecommerce, fintech, SaaS and D2C.

Besides, venture capital company First Cheque sealed its second fund after raising $5 Mn and increasing its asset under management up to INR 90 Cr.

Xponentia Capital’s Second Fund Raises INR 365 Cr To Back 8-10 Startups. Congratulations to the entire team at Xponentia on your funding. I wish you great success in this endeavour.

Shishir Gupta, Founder and CEO, StartupLanes

Don’t keep wondering about funding, you can also raise funds. Learn how to raise funds here: Yes I want to raise funds.

If you are an emerging startup and are looking for investors to raise funds, StartupLanes has its own angel network and investment banking services and is connected to angel investors and VCs in 15 countries that ensure that our member startups have easy access to external funds to scale up constantly.

You can subscribe to our news posts by entering your email in the box on the right side of this page.

Check out our YouTube channel for insightful content from the Indian startup ecosystem.

Or join our Whatsapp group to interact with other founders: Yes, I want to join the Whatsapp group.

The right investment is key to beating inflation and growing your wealth. Do you wish to become an angel investor? Yes, I want to be an angel investor.

Are you a startup and facing challenges in your business? Do you want to grow your business? It is not as difficult as it sounds. Learn how to grow your business here- Yes, I want to grow my business. For any rectifications, reach out to ashu@startuplanes.com