Java Capital, a seed-stage focused alternative investment fund (AIF), on Monday announced the launch of its first fund with a corpus of Rs 75 crore. The firm will invest in at least 15 technology and fintech start-ups in the next 18-24 months.
The fund, which has a green-shoe option of Rs 25 crore, recorded its first close at Rs 30 crore. It expects a final close in six months. The fund has invested in pre-seed to pre-series A startups, with an average first cheque size of Rs 2 crore and it plans to reserve 50 per cent to make follow-on investments.
“We are super excited to announce the launch of our fund and we are strong believers in the long term growth story for India, we work with our ecosystem and partners in the true spirit of long-term games with long term people leads to significant outcomes for the society at large. We are in the venture space for the next couple of decades and would like to grow Java Capital as the first port of call for founders looking to start companies,” said Bhargavi V, co-founder and partner, Java Capital.
Java Capital earlier invested in 23 startups that include Agnikul, KukuFM, BharatX, Better Opinions, and Yellow Metal. The firm has led rounds in 40 per cent of these companies.
More than 50 per cent of the portfolio raised follow-on funding in up-rounds, while four of the companies were selected into a Y-Combinator accelerator after investments from Java. The combined valuation of the firm’s portfolio is $385 million.
“At Java, we have a strong record of backing and nurturing visionary founders developing disruptive business models and technology. We are guided by our values of being transparent with all stakeholders, building long-term and lasting relationships, giving founder friendly terms and promoting win-win outcomes,” said Karteek Pulapaka, co-founder and partner, Java Capital.