North Eastern Development Finance Corporation Ltd (NEDFi) has announced a $15 million (Rs 100 crore) fund for startups in the Northeast region, reports Inc42. The investor has also inked an MOU with the Ministry of Development of North Eastern Region for the same.
The fund will focus on early and growth stage startups in IT, tourism, retail, healthcare and aggregation of services for the development of new products and services, technological upgrades and value creation. NEDFi will contribute Rs 30 crore to the fund corpus while the Ministry of Development of North Eastern Region will add Rs 25 crore to the fund. Another Rs 25 crore is expected to be raised from other financial institutions.
The fund will be handled by the NEDFi under two subsidiary companies – NEDFi Trustee Ltd. and NEDFi Venture Capital Ltd., which are expected to be launched in October this year after getting approval from SEBI.
Recently announced startup funds in India:
– In July, the Karnataka government launched an initiative to offer funds worth $57 million for startups.
– In March, GSK Velu floated two investment funds – a Venture Capital (VC) fund under Stakeboat Capital targeting to raise $100 million, and a family office fund with a corpus of $75 million.
– The same month, equity firm Paragon Partners launched Paragon Partners Growth Fund I (PPGF-I), a $200 million India focused fund. The fund will focus on financial services, infrastructure services, industrials and healthcare services.
– In February, 500 Startups launched a new $25 million fund to invest in India, Sri Lanka and Bangladesh. The fund would focus on early stage companies that have demonstrated traction
– In the same month Nokia Growth Partners (NGP) announced a new $350 million fund IV, for investing in IoT companies in the US, Europe, India and China. The fund will invest in companies around connected enterprise, consumer solutions, connected car and digital health and those focused on big data and analytics.
– Similarly, in the same month, IDG Ventures India had launched an India-focused tech fund with a target amount of $200 million.
– In January, Storm Ventures launched a new fund for software-as-a-service (SaaS) startups in India, with an allocation of at least $10 million for the fund.
– In the same month, Unicorn India Ventures finished a first close of Rs 40 crore on its Rs 100 crore fund. The fund will invest in early stage startups in verticals like mobile, social media, analytics, cloud tech and Internet of Things (IoT).