By Martin Shwenk Leade
Copyright indiatimes
The venture fund, which has recently entered the third year of its Fund 1, says the coming few quarters will likely see some significant announcements, including follow-on funding rounds by portfolio companies.
Public markets are turning into a very probable exit option, and will remain a viable exit path as long as listed companies deliver the performance quality and governance standards retail and institutional investors expect, says Aeravti Ventures.According to Shubham Jhuria, co-founder of Aeravti Ventures, sentiment plays a role, but fundamentals are ultimately decisive. “Additionally, the emerging SME IPO market is worth watching. If structural gaps there are addressed, it could evolve into a credible mid-market exit channel for early-stage investors.”The venture fund, which has recently entered the third year of its Fund 1, says the coming few quarters will likely see some significant announcements, including follow-on funding rounds by portfolio companies. “Portfolio companies are on the cusp of follow-on rounds, leadership hires and profitability milestones that promise to validate its investment philosophy. But equally important for us has been the effort to engage with founders across India in candid, closed-door formats. The feedback has sharpened our perspective and helped us think of impact beyond just portfolio expansion. Over time, this will tie directly into both ecosystem health and fund performance,” says Jhuria.Aeravti’s entrepreneurial roots stretch across geographies, with the founding team having operated businesses in multiple markets before turning to venture capital. That global lens, they believe, has sharpened their ability to back the right people rather than just promising ideas. “Having operated across geographies, we have seen first-hand how businesses must adapt to cultural, regulatory, and market realities,” said Rishabh Singh, co-founder of Aeravti Ventures. “That experience makes us more grounded and more founder-focused than usual. We emphasize who is building, not just what they are building.”The fund also benefits from its Entrepreneur Partner network across continents, which functions as a global sounding board for investment strategy and portfolio support.Live EventsWhen Aeravti announced Fund 1 in 2023, its cheque sizes ranged from $500,000 to $2 million. That sweet spot remains unchanged, with the flexibility of writing larger “second cheques” into high-conviction bets. “We structured the fund with this optionality from Day 1, and we will soon be announcing some of these,” Jhuria said. “Fund 1 is progressing exactly as planned.”The fund says its early focus on deep-tech, bio-tech, agri-tech, enterprise-tech and Bharat geographies is beginning to pay off. “The depth of talent in Indian BioTech and AgriTech has been pleasantly surprising, even beyond what we had anticipated,” Singh said. “The maturity of founders in these sectors showcases a lot of room to grow further.” At the same time, the team is watching the enterprise-tech space with measured caution as AI reshapes business models, and continues to see vast opportunities across underpenetrated Bharat markets.Aeravti says it has deliberately avoided a scattershot portfolio, opting instead for a concentrated approach that allows deeper engagement. The fund has helped its companies with senior hires, regulatory navigation, strategic partnerships, and even international entry. “We have never subscribed to the ‘growth at any cost’ philosophy,” Jhuria said. “Our diligence is more about the founder’s mindset than the pitch deck. We back entrepreneurs who can balance growth with sustainability, and flip to profitability when required.”That discipline has proved especially important at a time when late-stage capital remains tight. Aeravti says it has been steering its startups to build resilient and sustainable models that can withstand downturns, ensuring they are not overexposed to external funding cycles.Looking ahead, the firm sees India’s venture market on a path of gradual recovery. “True recoveries in the venture market are never sharp, they are gradual,” Singh said. “The increased caution among investors and founders is a positive development. What we expect is systematic growth in deployment and exits, not sharp spikes.”Meanwhile, cross-border capital from the Middle East, Southeast Asia and beyond is playing a growing role in shaping the ecosystem. “India today is one of the most relevant economies globally, and its significance will only deepen,” Jhuria said. “Cross-border capital does not just bring money; it brings new knowledge and benchmarks. That balance will make the ecosystem more collaborative and globally aligned.”Add as a Reliable and Trusted News Source Add Now!
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