Early-stage venture capital firm A99 (formerly Artha99) is gearing up to raise its third fund, with a target corpus of $100 million (Rs 850–885 crore). Based in Chennai, the firm plans to deploy this capital into startups that are strengthening India’s manufacturing and infrastructure backbone.
Investment Strategy
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Target corpus: $100 million (~Rs 850–885 crore)
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Number of startups: 12–15
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Cheque size: $5–10 million per company
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Stage focus: Pre-Series A to Series B startups
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Soft commitments: $30 million already secured from new and existing LPs
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First close: Planned by April 2026
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Key change: Unlike its last fund, this one will not carry a greenshoe option
A99’s Mission
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Founded in 2021 by Vignesh Shankar
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Positioned as a specialist investor in India’s industrial ecosystem
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Core focus: Factories, supply chains, infrastructure, and industrial technologies
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Mission: Backing “visionary founders building the backbone of India’s growth story”
Previous Funds and Track Record
Fund II (2022):
- Target: Rs 50 crore, later expanded to Rs 105 crore with a greenshoe option
- Portfolio includes: Aditya Avartan, Intangles, Innocule, EzeRx, Lyzr.ai, Raptee
Fund I:
- Backed: Vajro, Intents Mobi, Sarva
- Notable exit: Stake in Futurice UK, delivering 7X returns
This consistent performance positions A99 as a reliable VC partner for early-stage founders in manufacturing and industrial sectors.
Tailwinds in India’s Industrial Landscape
The timing of this fundraise aligns with strong momentum in India’s manufacturing push:
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Government initiatives:
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Make in India program
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Production-Linked Incentives (PLI)
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State-level subsidies attracting global investments
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Manufacturing scale:
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India produces 325+ million mobile phones annually
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Ranked as the second-largest mobile phone manufacturer globally
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Global players expanding:
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Apple ramping up iPhone 17 production across five Indian factories
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Samsung deepening its supply chain presence in India
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Why It Matters
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A99’s third fund is set to unlock capital for industrial and manufacturing startups at critical growth stages.
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The firm’s mid-sized cheque strategy ($5–10M) makes it a vital partner for scaling industrial ventures.
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With proven exits and portfolio growth, A99 has established itself as a trusted VC in India’s industrial tech space.
At Innovent Blog, we continue to spotlight funding news, venture capital moves, and the latest trends shaping India’s startup and industrial ecosystem.