Sectors like climate tech, health tech, and vertical SaaS are expected to play a key role in driving digital transformation across industries by providing businesses with access to cutting-edge technology without the need for significant upfront investment. With an aim of focusing on these sectors, Cactus Venture Partners announced the final close of its first fund at Rs 630 crore.
The fund of CVP boasts a diverse investor base with investors from both domestic and international startup landscapes. While 60% of the capital commitments originate from domestic sources, the remaining 40% stem from international Limited Partners (LPs), with notable contributions from investors hailing from the USA, Singapore, EU, and the UK.
“We’ve got a mix of foreign and domestic investors. From the family offices, we have the commitment from one large mining group and one flexible packaging company based out of Western India. There is also a Raipur-based mining, sealing and renewable sector company and a mining group based out of Bengaluru,” Rajeev Kalambi, General Partner, Cactus Venture Partners told FE Aspire.
“Our HNI investors come from diverse backgrounds, including successful entrepreneurs in technology and senior leaders from the US, Singapore, and Europe. We also have a couple of family offices from Europe contributing to the fund,” said Kalambi.
Within India, CVP has garnered commitments from prominent institutions such as SIDBI, the Self-Reliant India Fund (SRI Fund), and the UP Startup Fund, demonstrating institutional backing for the venture capital firm’s vision. Moreover, the participation of international Family Offices and Ultra High Net Worth Individuals (UHNIs) shows the growing interest of global investors in Indian startups.
CVP’s investment strategy will be targeting Series A and early Series B fundraising stages and aims to support companies that have already demonstrated product-market fit (PMF), thereby mitigating some of the inherent risks associated with early-stage ventures.
Additionally, the firm is also keen on fostering international expansion among its portfolio companies. Currently, Cactus Venture Partners has a portfolio comprising five companies, including Kapture, Vitraya, AMPM, Auric, and Lohum. Looking ahead, the firm has ambitious plans to further expand its portfolio, with aims to make an additional 8-10 investments over the next 1-2 years.
“To date, we have experienced one early exit (from B2B risk management and monitoring platform Rubix Data Sciences) as well, leaving us with a current portfolio of five companies. Therefore, we plan to make an additional 10 investments to reach our target of 15 in total,” Amit Sharma, General Partner, Cactus Venture Partners told FE Aspire.
“We have a broad emphasis on clean/climate-tech and health tech. Even within these verticals, there are various segments—around 50 per cent (of the market) in cleantech alone, and approximately 35 per cent in health tech. Enterprise software, on the other hand, is horizontal, not vertical. Thus, our focus is primarily on the pricing model, which can be applied across industries based on specific needs,” said Sharma
Cactus Venture Partners: Empowering Purpose-Driven Innovation
Mumbai-based Cactus Venture Partners (CVP) is carving its niche as a purpose-driven early-growth stage venture fund, placing a special emphasis on technology startups and direct-to-consumer (D2C) brands. The firm’s overarching goal is not just about financial returns but also about fostering sustainable, fulfilling businesses that can scale rapidly.
What sets CVP apart is its unwavering commitment to supporting entrepreneurs who are driven by a sense of purpose, alongside their pursuit of financial success. By aligning with founders and teams who share this dual motivation, CVP creates a unique ecosystem where purpose-driven innovation thrives. Central to Cactus Venture Partners’ approach is its hands-on involvement with portfolio companies.
Beyond just providing capital, CVP offers active founder support, sharing invaluable business-building best practices, and facilitating access to its vast network, relationships, and talent pool. The support system of the firm ensures that startups not only receive the funding they need but also the guidance and resources required to navigate challenges, seize opportunities, and ultimately, achieve sustainable growth. In this way, CVP plays a pivotal role in nurturing the next generation of successful ventures, driving positive impact, and shaping the future of India’s entrepreneurial landscape.
“Having been entrepreneurs ourselves, we understand what it takes to deliver that growth and this helps us connect better with the founders,” Anurag tells YourStory.
“There are a lot of opportunities and we expect more fund managers to come in, but we stand apart due to our business-building capability,” he says.
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