Trident Growth Partners (TGP), an investment firm founded by former senior investment professionals from Premji Invest and the International Finance Corporation, has made significant strides in the Indian startup ecosystem. The firm, led by Atul Gupta, Rajesh Ramaiah, and Pravan Malhotra, recently announced the first close of its maiden fund at over ₹1,000 crore (approximately $120 million). This milestone comes just 7–8 months after the firm received its Alternative Investment Fund (AIF) license in July 2024, and the firm is now exercising its greenshoe option to raise an additional ₹1,000 crore.
With a clear focus on growth-stage startups, TGP aims to invest between ₹120–₹200 crore (approximately $15–25 million) per company in Series B and later-stage opportunities. "We plan to invest in 10 to 12 companies, taking significant minority stakes of 8–20 percent and typically securing a board seat," said Gupta, the Managing Partner of TGP. The fund's investment strategy is centered around sectors such as consumer, financial services, enterprise technology, manufacturing, and healthcare.
Trident Growth Partners is anchored by Manipal group chairman Ranjan Pai’s family office, Claypond Capital, and has garnered capital infusion from over 30 startup founders, including those of well-known companies like Lenskart, PolicyBazaar, and Persistent Systems. The fund is also supported by Indian sovereign fund-of-funds Sidbi and Self-Reliant India Fund (SRI), along with contributions from domestic and foreign family offices and general partners of prominent funds.
As the firm gears up for its future investments, it has already completed its first investment of ₹110 crore by co-leading a Series B round in Spotdraft, a software-as-a-service (SaaS) company specializing in contract lifecycle management. Gupta stated that TGP is in the final stages of closing its second investment, with a pipeline that includes opportunities in financial services and manufacturing, as well as ongoing evaluations of several companies in the healthcare sector.
Ramaiah emphasized the importance of governance in the firms they invest in. "We come in at a stage where companies transition from being VC-backed to becoming growth-focused. This is when we help build the foundation for governance, integrity, and process discipline," he said. TGP encourages its portfolio companies to bring in independent board members within 6–12 months of investment and works closely with founders to establish sound processes.
The firm views market volatility and valuation corrections as strategic opportunities. "Corrections and volatility can be positive because you can invest at attractive entry points during volatile times," said Malhotra. This perspective is particularly relevant as the Indian startup ecosystem matures, with increasing opportunities for exits through public listings and late-stage acquisitions.
TGP’s preferred exit paths include IPOs, secondaries, and strategic buyouts, with the firm seeing a growing number of opportunities for exits as Indian startups continue to develop. This comes at a time when both global and domestic venture capitalists are launching new funds, buoyed by India's thriving startup IPO pipeline and a recovering funding landscape.
In the past, the trio of founders has collectively invested in over 40 startups, including notable names like Myntra, Flipkart, and BigBasket. Out of these investments, 14 have become unicorns, and eight have either gone public or undergone mergers and acquisitions. This track record highlights their deep understanding of the startup ecosystem and their commitment to fostering growth in promising companies.
As TGP looks to close its fund at ₹2,000 crore by the end of 2025, the firm is poised to make a significant impact on the startup landscape in India. With a focus on resilience, governance, and sustainable growth, Trident Growth Partners is not just another investment firm; it is a partner for startups aiming to navigate the complexities of growth and prepare for an eventual exit.
In a landscape where many startups struggle to find the right support during their transition from early-stage funding to growth, TGP's approach of bringing operational experience and a founder-first mindset could be a game changer. By prioritizing sustainability and governance, they are setting a new standard for how investment firms can engage with their portfolio companies.
As the firm embarks on this journey, the backing of established names in the industry and a robust network will undoubtedly play a crucial role in its success. With the Indian startup ecosystem continuing to evolve, the next few years will be critical for TGP and the companies it chooses to support.
In summary, Trident Growth Partners stands at the forefront of a new wave of investment in India, aiming to empower growth-stage startups while ensuring that governance and sustainability remain at the core of their investment philosophy.
