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SIDBI Venture invests Rs 375 cr in SME

SIDBI Venture Capital (SVCL), which manages two venture capital funds with total corpus of Rs 600 crore, is gearing up for more investments.

Speaking to FE on the sidelines of announcement of his company’s investing Rs 30 crore in Mumbai based Centaur Group, Ajay Kapur, CEO, SVCL, said that “We are in harvesting mode nowadays and there was no chance of exiting from any of the funds we have invested at this moment”.

The only fund which was exited by the SVCL in recent past was the NCR-based retail chain retail chain, Sabka Bazar which is promoted by a Muradabad-based firm. The SVCL, which had invested a sum of Rs 6 crore in the firm, sold off its entire stake to Spinach Group.

Kapur said, “Most of the firms we have invested in our young and performing well, so we would like to wait for 3-4 years before deciding to exit. Out of our commitments to invest Rs 500 crore as SME Growth Fund within a period of three years, we have already invested Rs 375 crore so far in sectors like auto, textile, pharma, speciality chemical, industrial adhesive and others.”

This year too, SIDBI has big investment plans across all the sectors. “Despite a sluggish growth in the sale of two-wheelers. We see growth in almost all the sectors in the country. Therefore, our investment will also be broad-based,”added Kapur.

SVCL has also already exited from half of the Rs 100 crore National Fund for Software & IT which was kicked off by it in 1999. Talking about the return of funds, Kapur said that portfolio is well balanced for all the start-up Companies the company has invested.

Source: Financial Express

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