Synopsis
Info Edge, which was an early investor in Zomato, said the fund will be sponsored and managed by Info Edge’s subsidiary Smartweb Internet Services and support early-stage deeptech startups in India.The company said that its board meeting on March 27 approved a commitment of up to Rs 250 crore ($26.43 million) to A88 Fund I, a scheme launched by A88 Trust and registered with the Securities and Exchange Board of India (Sebi) as a Category II alternative investment fund (AIF).
The fund, which will be sponsored and managed by Info Edge’s subsidiary Smartweb Internet Services, is aimed at supporting early-stage deeptech startups in India. The company said the goal was to “generate long-term growth for the contributors and support the Indian entrepreneurial ecosystem by investing in early-stage deeptech companies in India.”
At the same time, Info Edge is selling its 26.14% stake in retail tech startup Shopkirana to Trustroot Internet Private Limited (TIPL) for around $32.97 million. As part of the deal, Info Edge’s subsidiary, Startup Investments (Holding) Limited (SIHL), will acquire a stake in TIPL, an investment holding company that also provides software-as-a-service (SaaS) solutions.
SIHL will receive preference shares equivalent to a 2.021% stake in TIPL and will invest an additional $1.72 million to gain a further 0.105% ownership.
The transaction is still subject to regulatory approvals and is expected to close by June 30, 2026, including clearance from an authorised dealer bank.
This follows Info Edge’s launch of a new growth-stage investment fund in February, with a capital commitment of Rs 250 crore. The fund, named B8 Fund-I, marks the company’s first dedicated vehicle for later-stage investments. Sources told us the fund could also raise money from external investors, potentially increasing the total corpus beyond the initial Rs 250 crore.
The Noida-based company already runs four early-stage investment platforms. These include Info Edge Ventures, which has raised Rs 2,300 crore across three funds; Capital 2B, with a Rs 280 crore corpus; Redstart Labs, which focuses on AI-driven startups; and direct investments made from Info Edge’s own balance sheet.
