Good Capital aims to deploy the fund with target cheques of up to US$1.5 million over the next four years and intends to inject the capital of about 25 to 30 startups.
Heaptalk, Jakarta — India-based venture capital firm Good Capital launched a US$50 million fund, with a US$25 million greenshoe option, to back startups integrating Artificial Intelligence (AI) into distribution, personalization, and business operations.
According to the Co-General Partner of Good Capital, Arjun Malhotra, integrating AI is now table stakes for any startup. Much like the platform shift to mobile in the past, the success of tech businesses will depend on how they leverage AI. He claimed this move is not solely an AI-focused fund as much as a recognition of a land-grab moment, whereby startups leveraging AI in intelligent ways will have the right-to-win.
Furthermore, the company aims to deploy the fund with target cheques of up to US$1.5 million over the next four years. The firm has been an early investor in unicorn startups, such as Meesho and LEAD School, and aims to inject the capital of about 25 to 30 startups from various sectors from the current fund.
Malhotra claimed multiple Good Capital portfolios had obtained investment from diverse investors. For instance, OrangeHealth raised Series A funding from General Catalyst and Accel Partners, SimSim, which was acquired by Google, and SolarSquare, which secured a US$13 million Series A funding led by Lowercarbon and Elevation Capital.
“We invest with deep conviction by being lead investors for every investment we make. At an ideal stage when time is precious for startups, the firm backs entrepreneurs get into business quickly rather than spending weeks cobbling together small amounts to raise their early round,” Malhotra added.
Becoming one of the firm’s portfolios, CEO and Co-Founder of SolarSquare, Shreya Mishra, perceived the company needs to rely on borrowed conviction to make investment decisions. She claimed Good Capital invested in her company when no other investors were interested in discovering the residential solar market.
Mishra added, “This venture capital firm has been instrumental in our growth by first leading our seed round and then introducing us to Lowercarbon, who led our Series A round,”
