A Former World Bank Executive Floats a VC Fund of INR 300 Cr

Nitin Konde, Varun Bhardwaj

Nov 20, 2024 — 3 min read

Former World Bank Executive Launches INR 300 Cr VC Fund

Sayan Ghosh, a former World Bank officer, has launched Ortella Global Capital (OG Capital), a new venture capital (VC) fund worth INR 300 crore (about $36 million), which would work with creators to co-build firms. The fund would distribute cheques of up to INR 15 crore ($2 million) apiece and intends to invest in over 20 early and growth stage firms in the consumer and "enterprise solutions" sectors.

OG Capital said in a statement that it has already invested in three firms. It lacked particular information about these startups, though. In addition to providing funding, OG Capital intends to support startups by adding them to its portfolio and assisting with business expansion.

Created Largest Early-Stage Investment Team in Indi

OG Capital asserts that it has put together the biggest team of early-stage investors in India, which includes seasoned founders and operators. Scaling startups, determining product-market fit, increasing profitability, developing go-to-market strategies, and facilitating high-value exits are just a few of the areas in which the team specialises.

The goal of OG Capital is to transform early-stage investing by doing more than just writing cheques. In order to assist creators in facing the major obstacles head-on and creating organisations that are meaningful, successful, and have rapid growth, Ghosh stated. He further elaborated that the company believes in getting its hands dirty by supporting startups right from the start. The venture capital business stated that it will promote projects that prioritise gender diversity, sustainability, and grassroots effect in an effort to generate 10X returns. The schedule for closing the fund and deploying it, however, was unclear.

India’s Startup Ecosystem

A spirit of entrepreneurship is in the air! With the number of tech companies in India reaching 122,000 to date, with a peak of over 16,000 new additions in 2020, the country has solidified its position as a major global centre for innovation and businesses. In the past ten years, India has seen an unprecedented surge in the creation and funding of startups.

The financial landscape has also changed significantly, with the largest levels of investment over the last 10 years occurring in 2020 and 2021. Despite the challenges in the funding landscape in 2023, venture capitalists, private equity firms, angel investors, and investment firms have shown a surprising level of faith in Indian entrepreneurs. The investment scenario—from both Indian and foreign investors—has been positive and demonstrates resilience in the face of market concerns, with total funding of $8.4 billion in India in 2023.

From 2014 to 2023, a number of factors, including government initiatives, digitisation, and rising internet usage, drove the expansion of India's top-funded industries. According to the Tracxn research, these industries include Edtech, Retail, Enterprise Applications, Fintech, Transportation & Logistics, Food & Agriculture, Auto, and Travel & Hospitality.

With a total funding of $6.73 billion throughout the years and $6.23 billion in just ten years, Indian investment in the Deep Tech (R&D orientated) industry has been growing consistently, demonstrating the nation's dedication to science and technology and its continuous expansion. This pattern highlights how crucial technology-driven innovation is to determining India's future.