Edelweiss Discovery Fund Series I

Investment Strategy

Sector Focus

• Consumer Brands

• Healthcare

• Specialized Manufacturing

• Tech-enabled B2B Services

Thematic Focus

• Sector-agnostic, preference for high-growth businesses

Investment Style

• Active Management

Risk Profile

• Medium to High

Value Proposition

• Differentiated exposure to high-growth opportunities
  

Fund Structure

• Fund Size: Not explicitly mentioned

• Sponsor Commitment: 2.5% of Fund Size or INR 5 Crore (whichever is lower)

• Commitment Period: 30 months from initial close (March 2025)

• Capital Lock-in: 5 years from final close (extendable by 2 × 1-year periods)

• Minimum Ticket Size: INR 1 Crore (Class A1)

Market & Performance

• Net NAV Returns: INR 14.0439 (as of Jan 31, 2024)

• Past Performance: 31.21% XIRR since inception (Sep 2022)

• Hurdle Rate: Not explicitly mentioned

• Benchmarked Returns: AIF Benchmark Indices (CRISIL, Mar 2023)

Expense Ratio & Fees

• Management Fees: Not explicitly mentioned

• Performance Fees: Likely carried interest (above hurdle rate, not stated)

• Other Expenses: Legal, administrative, operational costs

Valuation & Liquidity

NAV Valuation: Post-expense NAV-based valuation
Liquidity Options / Exit Strategies:

• IPO

• Secondary market sale

• Strategic buyout

Exit Case Studies:

• IPO Multiples

  • Nykaa: P/S rose from 2.9× (mid-stage) → 21.8× (IPO)

  • Zomato: P/S rose from 38.2× (mid-stage) → 53.7× (IPO)

• Strategic Buyouts: Some past deals delivered up to 23× valuation growth

Miscellaneous

• Fund Launch Date: Sep 2022

• Co-investment Opportunities: Not explicitly mentioned

• ESG Score: Not explicitly mentioned (but governance is a strong focus)

• Fund Tenure Extensions: Extendable up to 2 additional 1-year periods