Venture Debt Fund InnoVen Cap Hunts for Healthy Deals
Consumer products & healthcare services firms top the list
New Delhi: Consumer products and healthcare services companies are at the top of the list for Temasek-backed venture debt firm InnoVen Capital, as it looks to broaden its portfolio and be counted as the first port-of-call for non-venturebacked firms looking for debt financing.
The firm, which closed deals worth .₹ 110 crore at the end of the third quarter of the current fiscal, is now considering companies that are yet to raise funding from traditional risk capital, such as private equity or venture ca-
pital, have been bootstrapped or have raised more traditional forms of capital.
“Over the past few years, we went with VC-backed companies because as a lender, we wanted some hygiene to be there in the companies, such as governance and control... The logical extension is if the same trends are visible in other (non-VCbacked) companies, what stops us from evaluating them for debt?” said Vinod Murali, managing director at InnoVen Capital.
According to Murali, InnoVen will provide debt to these companies to not just meet their working capital needs, but also finance potential acquisitions or asset creation for services companies, situations that need a steady flow of mezzanine capital in India. “If it’s an offshore transaction, there is no limitation. We can do $10-20 million in financing, given that we also have a vehicle in Singapore,” he said.