Artha India Ventures Closes Select Fund At INR 432 Cr

Artha Ventures Closes its Artha Select Fund at INR

SUMMARY

The fund has been closed at INR 432 Cr, exceeding its original target of INR 330 Cr

With this fund, the investment vehicle will back top 15% of Artha’s existing portfolio of more than 135 companies

Over the next four years, the fund plans to invest INR 20 Cr each in 12–14 portfolio startups at the Series B and C funding stages

Ashok Kumar Damani’s family office Artha India Ventures (AIV) has marked the final close of its follow-on fund, Artha Select Fund (ASF), at INR 432 Cr, exceeding its original target of INR 330 Cr by 31%.

The investment vehicle will back top 15% of Artha’s existing portfolio of more than 135 companies across Artha Venture Fund I, Artha Continuum Fund, and the soon-to-be-launched AVF II.

Over the next four years, the fund plans to invest INR 20 Cr each in 12–14 portfolio startups at the Series B and C funding stages.

“India has no shortage of promising ventures, but far too many face a capital drought between Series A and C. ASF ensures our winners have the firepower, strategic guidance, and operational backing to compete globally while preserving founder ownership and focus,” said AVF managing director Anirudh A Damani.

The development comes on the back of the family office-backed investment firm claiming that AVF-I has generated a 61% internal rate of return (IRR) at close. This fund, which was closed in FY19 at INR 225 Cr, claims to have deployed INR 175 Cr in 32 seed stage startups. Notably, AVF-I was Artha’s maiden fund with a corpus of INR 200 Cr and a greenshoe option of INR 100 Cr.

The VC firm has made 33 exits till date. Over the years, Artha has invested in startups, including OYO Rooms, Exotel, Purplle, BabyChakra, Beardo and Coolberg, among others.

Founded in 2012, Mumbai-based Artha India Ventures operates as a single-family office, backing startups from seed to growth stages with a focus on technology and renewable energy.

Betting Big On India’s Early-To-Growth Stage Startups

Having weathered an investment freeze over the past three years, India’s funding landscape is witnessing a revival led by early and growth stage bets.

As per Inc42’s report, Indian VCs and family offices launched funds worth $6.8 Bn in the first half of 2025 (H1 2025). More than 1.1K investors showed interest and participated in funding rounds during the period under review.

Seed stage funding witnessed inflows of $406 Mn across 215 deals, a 6% decline year-on-year (YoY). Meanwhile, growth-stage investments registered an 18% rise in funding on a YoY basis, collecting more than $2 Bn in funding across 143 deals in H1 2025.

As per Inc42’s investor sentiment survey, investors showed interest in India’s AI wave and predicted the sector to be India’s top investment theme in the ongoing year.