Noida-based Info Edge, the name behind the ubiquitous job portal Naukri.com, has quietly emerged as a formidable force in India’s startup ecosystem. Their recent annual shareholder letter for FY25 reveals a staggering nearly tenfold return on their long-term startup investments, firmly establishing their position as one of the nation’s most influential early-stage backers.
Over the past eighteen years, Info Edge strategically invested Rs 3,959 crore across a diverse portfolio of 111 startups, encompassing capital from both the company itself and other limited partners. This patient and insightful approach has yielded extraordinary results, with the fair market value of these investments now soaring to an impressive Rs 36,855 crore. According to founder and vice chairman Sanjeev Bikhchandani, this translates to an estimated gross internal rate of return (IRR) of 36%.
Riding the Unicorn Wave: Zomato and Policybazaar
The crown jewels of Info Edge’s investment portfolio are undoubtedly Zomato and Policybazaar. By backing these now-household names in their nascent stages, Info Edge demonstrated remarkable foresight. Their combined investment of Rs 1,075 crore in these two giants has ballooned to a valuation exceeding Rs 31,500 crore. With a collective market capitalization surpassing Rs 2.5 lakh crore, Zomato and Policybazaar serve as powerful anchors for Info Edge’s investment success story.
A Phased Approach to Startup Investing
Tracing Info Edge’s journey as a financial investor, Sanjeev Bikhchandani outlined a strategic evolution across four distinct phases since 2007. The initial phase, from 2007 to 2012, witnessed the early triumphs of Zomato and Policybazaar. Following this initial burst of success, the company adopted a more cautious stance between 2012 and 2015, patiently awaiting tangible outcomes from their early bets.
The period from 2016 to 2019 marked the third phase, characterized by strategic investments in promising ventures like ed-tech platform Adda247 and logistics startup Shipsy. These companies have since garnered significant attention and attracted marquee investors such as Westbridge Capital and Google, validating Info Edge’s early conviction.
The latest phase commenced in 2019 with the launch of the SEBI-registered Info Edge Venture Fund (IEVF). This strategic move expanded the firm’s investing capabilities through three distinct funds—IEVF, Info Edge Capital, and Capital 2B—operating across four schemes. The total fund corpus now stands at a substantial Rs 3,422.94 crore, with Info Edge committing Rs 1,613.75 crore and Singapore’s Temasek, via its subsidiary MacRitchie Investments, contributing nearly an equal amount at Rs 1,593.75 crore.
Betting on the Future: Deeptech and Beyond
Beyond its venture funds, Info Edge is also strategically venturing into the realm of early-stage deeptech startups through its wholly-owned subsidiary, Redstart Labs. Several portfolio companies under this initiative, including TrueMeds, Geniemode, and Attentive.ai, have already secured follow-on funding from prominent investors like Accel, Matrix, and Tiger Global, signaling the potential of this new focus area.
Bikhchandani highlighted the strong revenue growth, increasing profitability, and potential for market leadership demonstrated by these AIF-backed ventures, despite their early stage. A notable investment within Info Edge Capital is Bluestone Jewellery and Lifestyle, which has also attracted backing from prominent investors like Prosus, Peak XV, and Steadview Capital and has reportedly filed for an IPO, further bolstering the portfolio’s momentum.
With investments in 111 companies over the years, and an impressive 76 of them securing institutional co-investments, Info Edge’s investment activity now contributes significantly to its overall value, second only to its core recruitment business, Naukri.com. Sanjeev Bikhchandani’s vision of backing tech-led and tech-enabled startups has proven to be a scalable, sustainable, and repeatable formula, solidifying Info Edge’s position not just as a successful tech operating firm but also as a standout investor shaping India’s dynamic startup landscape.
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