On Friday, Capital A, a venture capital firm, announced the launch of its second fund, aiming for a target corpus of Rs 400 crore to support investments in startups across several key sectors, including manufacturing, deep tech, climate technology, and fintech. The firm indicated that this new fund is projected to make investments in approximately 17 to 20 companies, with an investment range of $2 to $3 million throughout the lifecycle of each startup.
The initial investment, or first cheque, will typically fall between $750,000 and $1 million. According to Capital A, the majority of investors contributing to this second fund will be domestic, drawing support from a variety of sources such as family offices, industry leaders, high-net-worth individuals, limited partners, and returning partners from their initial fund, including Manjushree Ventures.
Capital A was established in 2021 by Ankit Kedia, who also serves as the Managing Director of Manjushree Technopak, a leading company in the rigid plastic packaging sector. The firm plans to achieve the first close of this new fund by the end of 2025. Rigid plastic packaging, which is the focus of Manjushree Technopak, consists of solid and inflexible plastic materials engineered to retain a specific shape while providing robust support for various products.
This type of packaging is widely utilized for an array of consumer goods, encompassing food, beverages, cosmetics, personal care items, household products, and more. In discussing the rationale behind launching this new fund, Ankit Kedia, the Founder and Lead Investor of Capital A, emphasized that many sectors, particularly within the manufacturing domain, represent undervalued assets with significant growth potential.
He noted that these sectors are primed for rapid scaling and could play a vital role in enhancing the startup ecosystem. Additionally, Kedia reiterated the firm’s ongoing interest in areas such as climate technology, deep tech, and fintech, which continue to align with the investment thesis established during the firm’s first fund.
Capital A’s inaugural fund successfully backed a number of promising startups, including Chargeup, Bambrew, Jiraaf, Leumas, BharatSure, and Entuple, showcasing the firm’s commitment to fostering innovation and entrepreneurship across these dynamic sectors.
Capital A is a venture capital firm established in 2021, focusing on investing in high-potential startups across manufacturing, deep tech, climate technology, and fintech sectors. With a target corpus of Rs 400 crore for its second fund, Capital A aims to support innovative companies through strategic investments, leveraging insights from industry leaders and experienced partners to drive growth and success.
