IDG Ventures India, a venture capital affiliate of US-based media company International Data Group (IDG), is set to close its third fund at $200m, the Economic Times reported yesterday.
IDG Ventures India III raised $120m for its first close in February 2016 and reached $150m in May. It could receive $20m from International Finance Corporation (IFC), the private investment arm of the World Bank, according to two people familiar with the development.
Wealth management firm Edelweiss Wealth Management is expected to obtain almost $15m from its clients for the fund.
IDG Ventures India targets companies developing software, healthcare, financial and consumer media technology. It invests between $500,000 and $10m in each deal, participating between seed and expansion stage.
However, ET reports that about 25% of the latest fund has been earmarked for later-stage investments, perhaps a symptom that the firm’s portfolio companies are reaching later stages before achieving an exit.
News of the fund’s closure comes days after IDG agreed to an acquisition by its Chinese VC affiliate, IDG Capital, and conglomerate China Oceanwide. IDG Capital will take over the company’s VC interests, including its commitment to IDG Ventures India.