Holani Consultants, a distinguished merchant banker and stockbroker headquartered in Jaipur, has triumphantly secured Rs 184 crore for its latest SME-focused venture capital fund. The fund, with a total target of Rs 300 crore, was inaugurated in late April this year, following approval from the Securities and Exchange Board of India (SEBI) for its Alternate Investment Fund (AIF) earlier in the year. This marks the Holani Group’s foray into fund management and investment.
The new fund, as outlined by Holani Group, features a green shoe option enabling the retention of an additional Rs 100 crore. Ashok Holani, Director of Holani Consultants, exudes confidence in the fund’s potential impact, affirming, “With our sector-agnostic strategy, meticulous research, and prudent risk management, we aim to foster innovation, entrepreneurship, and economic growth in India while creating long-term value for our clients.”
Managed and sponsored by Holani Capital Advisors LLP, the Holani Venture Capital Fund Category I AIF is open to investments from a diverse array of individuals and entities including high net worth individuals, corporates, institutional investors, financial institutions, family offices, insurance companies, foreign investors, and other alternative investment funds.
Renowned for its comprehensive suite of services encompassing IPO management, business valuation consultancy, financial management and advisory, bank financing, stock broking, and other securities market-related advisory services, Holani Consultants boasts an impressive track record. The company has facilitated valuations for over 100 private placement transactions and has spearheaded SME IPOs on the BSE SME and NSE Emerge platforms.
The introduction of the new venture capital fund by the Holani Group underscores its commitment to bolstering the SME sector, aligning with broader initiatives aimed at supporting small and medium-sized enterprises. Notably, the MSME Ministry currently oversees a Rs 50,000-crore Self-Reliant India fund managed by SBICAP Ventures (SVL), the private equity arm of State Bank of India (SBI), dedicated to equity investment in SMEs.
Furthermore, in March of this year, the Small Industries Development Bank of India (SIDBI) unveiled the $120 million Avaana Sustainability Fund (ASF) designed to invest in early-stage startups and MSMEs. This fund targets technology-driven innovations that promote climate solutions and sustainability in India.