Announcing the aggregate funds disbursed in 2016, InnoVen Capital totalled to Rs. 400 corore – across 43 loans – to 35 startups and 26 new ventures to its portfolio. Of this, in the last quarter InnoVen extended debt funding of more than Rs. 110 crores in 13 new deals.
InnoVen actively co-invests on diverse sectors like E-commerce, Food-tech, Education, Logistics, Education and healthcare. In the last three months, the ventures funded include Swiggy, Coverfox, Furlenco, Flyrobe, Zelo, Unbxd and Surewaves.
Of the total funding spent last year, 55% comprised of venture debt to early stage companies while 45% was as growth capital to relatively larger businesses. To finance global operations, InnoVen has also provided cross border funding to Capillary Technologies and Simplilearn.
The company had recently launched InnoVen Credit Assistance Program (InnoVen CAP) to help its portfolio companies meet their working capital inopartnerships with banks to structure debt solutions that can optimize overall cash flow efficiency for these businesses.
Speaking on the year gone by, Mr. Vinod Murali, Managing Director, InnoVen Capital, said, “Venture debt is steadily getting established as an important component of funding rounds. Our ability to fund cheque sizes ranging from 2 Cr – 50 Cr allows us to straddle different lifecycle stages of companies. We are also actively exploring debt funding for growth-stage non-VC backed companies as well, which have the ability to show differentiation that translates to enterprise value. In these cases, our underwriting approach is a little bit different but we try and restrict this to new economy sectors where there is familiarity. India continues to be an attractive startup ecosystem but the recent phase of recalibration is a good wake up call to ensure value meets capital appropriately where venture debt, similar to equity, continues to be available in strong supply but the bar for good businesses has gone up sharply.”
