The multi-stage venture fund Fireside Ventures has raised $118 million, marking the final close of its second fund, a top executive said on Wednesday. It has already started deploying capital from its second fund, with around ₹70 crore invested in four companies including GynoVeda, Sarva Yoga, Fable Street and Slurrp Farm.
“We are indeed very delighted to get the support of our existing investors and we extend a very warm welcome to all our new investors. At Fireside Ventures, we are equally proud of all the founders from our portfolio companies, it is indeed remarkable to see their sheer guts and grit last year as they pivoted, planned, and programmed them to survive and be successful as well. A large number of our portfolio companies saw positive tailwinds during and post the pandemic,” shared Kanwaljit Singh, Founder & Managing Partner Fireside Ventures.
Fireside will invest in 15-20 direct-to-consumer start-ups while continuing to keep its focus on digital-first brands from the second fund. Direct-to-consumer brands have had a banner year with a huge surge in online commerce, which is the backbone of new age brands. Also, the pandemic is said to have validated Fireside’s investment theory of investing in digital-first consumer brands.
The early-stage investor closed its Fund II at $118 million with backing from marquee investors including SIDBI’s Rs 10,000 crore Fund of Funds for Startups, Investment Corporation of Dubai, Nippon India Digital Innovation AIF, Bajaj Holdings and Investment, ITC, L’Oréal, Pidilite group, Premji Invest, and a US university endowment.
“We have a commitment of ₹863 crore ($118 million) while we started with a target of ₹750 crore and saw strong interest from different investors and now have formally closed the fund. We are seeing over 100 investment opportunities every month,” Singh told reporters on Wednesday in a virtual meet.
Through the first fund, the Bengaluru-based start-up had funded around 18 companies, including boAt Audio, Mama Earth, Design Café, Alpha Vector (NinetyOne Cycles) and Yoga Bar.
“The value of the 18 companies from Fund I has already increased by 15x and we are seeing some great traction in growth in most of these companies, taking the total valuation to over $1 billion,” Singh, said.