Aagama Ventures Launches INR 400 Crore Fintech Fund for Early-Stage Startups

Aagama Ventures, a venture capital firm specializing in financial technology investments, has announced the launch of a significant INR 400 crore fund, equivalent to approximately $45 million. This new fintech fund aims to support emerging startups in India’s rapidly growing financial technology sector, marking another milestone in the country’s investment landscape.

The newly established venture capital firm has outlined ambitious plans to deploy this substantial capital across 15 to 20 promising startups over the coming years. According to the company’s investment strategy, Aagama Ventures intends to back 4-5 startups annually, ensuring a steady flow of capital to innovative fintech companies. The fund has been structured with strategic foresight, allocating approximately 50% of its total corpus specifically for follow-on investments in portfolio companies.

The fintech fund has already garnered significant support from prominent figures in India’s financial services ecosystem. Notable commitments have come from industry veterans including Mayang Goyal, who founded MoneyHop, and Naveen Kukreja, cofounder of Paisabazaar. Additionally, Bhavesh Gupta, former Chief Operating Officer of Paytm, and Abhijit Singh, global head of Banking As a Service, international banking and digital banking at HDFC Bank, have also committed to supporting this initiative.

Shubhanga Prasad, cofounder and partner of Aagama Ventures, revealed that the firm targets achieving the first close of the fintech fund by the end of 2025. The investment strategy extends beyond individual commitments, with institutional investors and family offices expected to participate in the fund’s subsequent rounds.

The founding team of Aagama Ventures brings together extensive experience in the fintech investment space. Prasad joined forces with Abhishant Pant and Pankaj Singh earlier this year to establish the firm. Pant brings valuable experience as the founder of The Fintech Meetup, an early-stage investment platform that has become influential in the sector. Singh contributes his expertise as a partner of Yatra Angel Network, which operates as part of The Fintech Meetup ecosystem.

Yatra Angel Network has established a strong track record since launching its maiden fund of INR 90 crore in 2021. The network has successfully invested in notable fintech startups including M2P Fintech, PhiCommerce, and One Card, among others. The fund reports a portfolio value of $300 million, demonstrating the success of its investment approach.

Prasad’s entrepreneurial background includes founding BetaPlus, a friends and family angel investment fund, in 2016 alongside his partner Chiranth Patil. BetaPlus has built an impressive portfolio through investments in diverse startups such as Datasutram, HomeLane, PayNearby, and Rupeek, showcasing the team’s ability to identify promising ventures across various sectors.

The establishment of this fintech fund represents a significant scaling of investment capacity for the founding partners. Previously, their investment activities involved smaller ticket sizes ranging from INR 3 crore to INR 5 crore through their existing funds. With Aagama Ventures, the team plans to participate in seed to Series A funding rounds with substantially larger ticket sizes ranging from INR 8 crore to INR 15 crore.

The investment focus of the fintech fund encompasses three strategic sub-sectors within the financial technology space. The first area targets payments, banking, and lending-focused businesses, which represent core infrastructure components of the financial ecosystem. The second focus area concentrates on fintech ventures that incorporate advanced technologies such as artificial intelligence, data engineering, and cybersecurity as fundamental elements of their business models. The third sector involves startups offering specialized financial services products tailored for specific industries including agriculture, healthcare, and energy.

The timing of this fintech fund launch aligns with sustained investor interest in India’s financial technology sector. Recent data indicates that fintech maintained its position as the most funded sector during the first half of 2025, with startups successfully raising over $1.5 billion through 68 deals. This trend continued into the third quarter of 2025, where fintech startups secured $281 million across 20 deals, demonstrating the sector’s resilience and growth potential.

The launch of Aagama Ventures’ INR 400 crore fintech fund reflects the growing maturity and sophistication of India’s startup ecosystem. As financial technology continues to transform traditional banking and financial services, dedicated funds like this one play a crucial role in nurturing innovation and supporting the next generation of fintech entrepreneurs.