IT Park developer Meenakshi Group has created a $10 million fund - Meenakshi Multiples, to invest in startups. Their first investment will be in Hyderabad-based iKeva.
Hyderabad-headquartered IT Park developer Meenakshi Group announced the creation of a $10 million fund to invest in startups, on Tuesday. Called the Meenakshi Multiples, its first investment will be in co-working venture iKeva.
Mahesh Katragadda, Director of Meenakshi Group, said,
"Over the next three years, our target is to invest around $10 million through our new startup fund. We are going to look at startups solving very specific problems, with potential scale in the future."
The IT Park developer will be acquiring a 6 percent equity in Hyderabad-based iKeva for an undisclosed amount.
Mahesh Katragadda said, "Co-working space is interesting. We chose to invest in iKeva because of their ethos on building a sustainable business model, with the single focus in customers and service delivery, which they have demonstrated consistently and have systems in place to ensure continuity."
Meenakshi Group has formed a team comprising analysts, finance and legal experts to focus more on investment opportunities.
"The investment team will take up due diligence of startups including scaled-up businesses. Proptech and co-working hold of promise, and is worth exploring among the scaled-up new-age businesses," Mahesh added.
The company has previously made undisclosed investments in a few startups. Established in 1992, Meenakshi Group has developed over 12 million square foot of commercial and residential spaces. Its power projects have produced 11,500 million units of electricity and hold a portfolio of 400 MW hydro projects in various stages of execution. The highway division of the group completed 200 km of road and highway projects to date.
Meenakshi Group's clients include Deloitte, Cognizant, Mahindra Satyam, Star Hospitals and Datamonitor, among others. The group’s rationale to set up the fund is to encourage new-age businesses, processes, and technology ventures, and providing new strategic capabilities.