Fundamentum Partnership, the venture capital firm founded by Infosys co-founder Nandan Nilekani and former Helion Venture Partners executive Sanjeev Aggarwal, is planning to launch its third investment fund with a target corpus ranging between Rs 1,800 crore and Rs 2,500 crore, according to sources familiar with the matter.
The firm is currently in the planning phase and is awaiting the necessary regulatory approvals before formally launching the new investment vehicle.
Fund III will continue Fundamentum’s established investment strategy by focusing on early growth-stage and Series B startups. In addition, the fund will maintain its emphasis on sectors such as consumer internet and fintech, targeting companies that have achieved product-market fit and are entering the scale-up phase of their growth journey.
Nandan Nilekani and Sanjeev Aggarwal launched Fundamentum’s maiden fund in 2017 with an initial corpus of approximately $100 million. The fund backed several high-growth startups, including PharmEasy and Spinny, both of which later achieved unicorn status and emerged as prominent players in their respective sectors.
Building on that momentum, Fundamentum raised $227 million for Fund II in 2022. At the time, the firm announced plans to invest in four to five companies annually while leading or co-leading funding rounds ranging from $25 million to $40 million. Fund II also maintained the firm’s focus on technology-driven businesses and growth-stage companies across India’s rapidly evolving startup ecosystem.
Sources indicated that Fund III will largely mirror the investment strategy adopted under Fund II. However, the firm has not yet finalized its anchor limited partners for the upcoming fund.
The new vehicle will remain separate from Fundamentum Frontier Advisors (F2A), the firm’s recently launched artificial intelligence and deeptech-focused platform. While F2A operates independently and concentrates on frontier technologies, including AI and deeptech innovation, Fund III will continue Fundamentum’s core strategy of investing in startups that have demonstrated market traction and are preparing for large-scale expansion.
The planned launch reflects continued investor confidence in India’s startup ecosystem, particularly among businesses that have moved beyond the early validation stage and require growth capital to scale operations, strengthen market presence, and accelerate revenue growth.
As venture capital activity continues to evolve in India, Fundamentum’s proposed Fund III is expected to provide significant support to promising startups across consumer internet, fintech, and technology-driven sectors, further reinforcing the firm’s position as a leading growth-stage investor in the country.
