Info Edge Launches Third Venture Fund with $115M Investment

Info Edge India has committed Rs 1,000 crore ($115 million) to its third venture fund, IE Venture Investment Fund III, according to its BSE filings.

Info Edge's venture funds collaborate with Temasek, Singapore’s sovereign wealth fund and the latest fund is expected to exceed ₹2,000 crore ($230 million). It will focus on investing in tech-driven Indian startups.

The Alternate Investment Fund (AIF) primarily makes initial investments in startups, with the rest reserved for follow-on funding. Info Edge follows a hybrid model, investing directly from its balance sheet while making larger venture bets through dedicated funds. 

Read also- PaaS Startup TrueFoundry Raises $19 Mn In Series A Round

In 2020, it launched Info Edge Ventures, a $100 million fund co-sponsored by Temasek, to support early-stage startups in consumer internet, fintech, edtech and software.

Info Edge’s biggest success story is its investment in Zomato, where it initially bought a stake for ₹4.7 crore. Over the years, it invested more and held 18.6% of Zomato shares at the time of its IPO in 2021. The stake sale during the IPO earned Info Edge over Rs 3,000 crore, making it one of India’s top startup investments.

Apart from Zomato, Info Edge has backed startups like Policybazaar, ShopKirana, Gramophone, DotPe, Adda247, NoBroker and Univariety. It has invested over ₹2,000 crore ($250 million) in various startups, usually taking minority stakes while offering operational support. Despite some losses, such as investments in 4B Networks and ShopKirana, Info Edge remains active in the venture space.

Startup Funding News: Your Gateway to Every Funding Update.

Latest Startup News: Stay updated with the latest startup news and trends. Your go-to source for startup ecosystem updates.

Startup Stories: Discover inspiring tales of startups overcoming challenges and achieving success.