GSK Velu, Trivitron healthcare founder and entrepreneur, has reportedly set up two investment funds for startups dealing in the healthcare section, consumer led companies and enterprise technology.
These funds have been divided as $100 million VC fund ‘Stakeboat Capital’ and a family office with $75 million. Economic Times quoted, “The development has come after Velu exited the diagnostic chain, Metropolis Healthcare, selling his 37% stake to leading private equity firm Carlyle, for $134 Mn (INR 900 Cr).”
ET reports stated that Velu will be the anchor investor in the newly launched initiative, contributing $20 million and the rest $80 million will be raised from large institutional funds.
Velu said, “I have been working with PE investors for 11 years now. I know what the entrepreneurs are looking for and where PE can add most value. We will follow a promoter-friendly approach. Just like a stakeboat helps other boats navigate the race, our fund will steer entrepreneurs towards building sustainable and successful businesses.”
This fund is targeting companies who are looking to raise Series B investments and have already proven their worth by cash flows and business model. The funds will be used for companies that work in sectors like healthcare services, consumer- led companies and enterprise technology, while avoiding the consumer internet space.
The firm is waiting for SEBI’s approval. Kandaswamy Chandrashekhar said “they are actively examining deals. The funds will be first used from the anchor investment before external funds are raised from the market. It will look at a seven-year fund with an optional ‘plus two’ and an investment window of four-five years in each investee company.”