Equirus InnovateX Opportunities

Investment Strategy

• Sector Focus: Technology, SaaS, Fintech, Deep Tech, AI, Supply Chain Tech, and Consumer Tech
• Thematic Focus: Digital transformation, profitability-focused investments, deep-tech innovation
• Investment Style: Active management
• Risk Profile: High-risk, high-return potential

Fund Structure

• Fund Size: INR 150 crores (+ INR 100 crores green shoe option)
• Commitment Period: 7 years (+2 years extension)
• Capital Lock-in Period: Full tenure of the fund
• Minimum Ticket Size: INR 1 crore
• Sponsor Commitment: 2.5% (in line with statutory requirements)

Expense Ratio & Fees Analysis

• Management Fees:
  • A1 Unit Class (up to INR 10 Cr investment): 2% per annum
  • A2 Unit Class (above INR 10 Cr investment): 1.75% per annum
• Performance Fees (Carried Interest): 20%
• Other Expenses:
  • Setup costs: Up to 1% (based on actuals)
  • Fund expenses: Up to 0.5% (based on actuals)

Governance & Management Team

• Fund Managers:
  • Ajay Garg(Managing Director, Equirus Capital) – Veteran investment banker with 20+ years of experience, specializing in deal structuring.
  • Sunder Nookala(Head of Tech & Digital – Wealth) – SaaS entrepreneur, angel investor, and early-stage startup mentor.
  • Krishna Jha(Venture Partner) – Serial entrepreneur, angel investor, and long-term investing expert.
  • Ajit Deshmukh(Managing Director, Equirus Wealth) – Former technology leader at Citigroup, investment banker.
• Decision-making Process: Investment selection based on theFive-T Framework(Team, Tech, TAM, Traction, Trenches).
• Auditors & Service Providers: Not explicitly mentioned
• Disclosure Standards: Internal governance with structured investment notes and committee approvals.

Legal, Compliance & Investor Protection

• Regulatory Approvals: Awaiting SEBI approval for AIF registration.
• Taxation Aspects: Not explicitly detailed.
• Investor Grievance Redressal: Standard AIF compliance framework.

Valuation & Liquidity Considerations

• NAV Valuation Methodologies: Not specified.
• Liquidity Options: Limited due to long-term venture capital structure; exits via IPOs, M&As, or secondary sales.
• Alignment with Investor Goals: Designed for long-term capital appreciation.
• Risk Appetite Suitability: Suitable for aggressive investors comfortable with illiquidity and venture capital risk.