Iron Pillar tops up first fund with USD45 million

Deal-making

Iron Pillar has closed its USD45 million Top Up Fund, which will top-up the Iron Pillar Fund I that held its final close in 2018 with capital commitments of USD90 million. 

With this new infusion of funds, Iron Pillar has added three global institutions including alternatives investor 57 Stars and one European family office to its investor base.

The Top Up Fund, which was oversubscribed to its hard cap, will provide Iron Pillar additional capital to back specific Fund I portfolio companies.

Fund I has made eight investments so far, including one exit from SaaS company Now Floats, acquired by Reliance Jio in December 2019. 

Iron Pillar is a venture growth investor specialising in mid stage technology investments in India. “The current crisis and its second order effects have reduced the amount of growth capital available for tech companies in India,” said Anand Prasanna, managing partner, Iron Pillar.

Founded in January 2016, Iron Pillar launched India’s first independent venture growth fund, providing Series B, C and D capital to proven businesses in the enterprise and consumer tech sectors. 

The top up fund deployment will be led by Anand Prasanna, Mohanjit Jolly and Ashok Ananthakrishnan. The team will focus on providing growth capital to Indian founders who aspire to create world class tech companies out of India.

Prasanna commented: “While some may see [the crisis] as a formidable challenge, we see this as a once in a lifetime opportunity for high quality tech companies with strong market position, growth and gross margins to solidify their lead with efficient capital spend.”

“One way to achieve this upside is for existing investors to step up with creative structures and provide access to capital for the next 24 months. Our top-up fund is a proactive step in that direction to add fuel to our well performing portfolio companies,” added Prasanna.

In addition to capital, Iron Pillar’s portfolio companies will get access to a global network of potential customers, strategic partners, senior tech executives and capital sources as catalysts, according to the firm.

Mohanjit Jolly, partner at Iron Pillar, said: “Marquis LPs have decided to back the Iron Pillar vision especially in the midst of the current pandemic. This is a validation for the strength of our portfolio, credentials of our team and investment strategy."