Inflection Point Ventures, a Gurugram-based angel investing platform, has announced the opening of its CAT II fund, Physis Capital.
Physis Capital will have a corpus of $50 million and a green shoe option of additional $25 million, with a first close of $20 million. Physis Capital will invest in firms seeking pre-Series A to Series B fundraising rounds as a participant or lead investor.
Physis Capital intends to establish a portfolio of 15 — 20 businesses with an average ticket size of US$2.5 million, according to the announcement. Following the first closure, it will begin deploying capital. The Securities and Exchange Board of India has given its clearance to Physis Capital, which is in the final stages of the registration procedure.
Speaking on the development, Vinay Bansal, Partner, Physis Capital, said: “Physis Capital is the result of our deep understanding of the startup ecosystem. 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 startups, to enable their success through an integrated ecosystem, consisting of technical, operational, business and strategic mentorship and support along with funding.”
Physis Capital will also invest in vertical commerce, consumer technology, social/content creators, B2B SaaS, and enterprise technology.
It will also look for multi-baggers in its IPV portfolio and have Physis Capital support them. It stated that up to 50% of the fund’s assets will be used to back proven winners from the IPV portfolio.
Ankur Mittal, Partner, Physis Capital said, “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 startups’ side, we have deep relationships with top e-cells, incubators and other angel networks, which makes us confident of high quality startups inflow. These factors backed by our study of the growth of Indian startups and strong confidence restored in us by our existing investors played a role in taking a step to launch a structured VC fund.”
According to a latest report by Nasscom, IPV was announced as one of the most active angel platforms in India in 2021. With Physis Capital, it is expected to disrupt the growth funding stage as the scale and size of investment is likely to go up.
