Here is the Indian arm of the California based venture capital firm Sequoia Capital. The company was buoyant after raising a fund of nearly $620 million in 2016 as it looked at deals to get a bigger foothold in the venture capital market in India. Sequoia was eyeing the market experiencing a void created after giant Tiger Global Management vacated Indian market. Sequoia aggressively searched for opportunities at start up and early stages to increase its share of the capital venture market in India.
For those who do not know, Sequoia Capital India is a very prominent venture capital firm in India, having investments in companies like MU Sigma (data analytics), FreeCharge (bill payments), and Grofers (quick delivery start up). Return to a phase of aggressive investing in India by this capital venture firm comes at just the right time for start ups in India that are experiencing a resource crunch. Sequoia Capital India is aggressively looking for investment opportunities especially as it is armed with a fresh fund of more than $900 million.
Experts say that Indian startups are experiencing a slowdown after unfettered growth period of nearly two years. Wary investors are running away and this has forced many start ups to either shut down or choose the option of being acquired by others. This is an ideal opportunity for a capital venture firm like Sequoia as it can watch closely and then choose and pick the deals. The new fund of $920 million takes the total value of funds at the disposal of Sequoia Capital India to a new high of $3 billion.
It is not that other venture capital firms are not doing their bit to get a foothold in the Indian market. Some of the prominent ones are Accel Partners ($305 million), SAIF Partners ($350 million), and Nexus Venture Partners ($450 million).