CDPQ commits US $20M to Fundamentum Partnership – Fund I

Caisse de dépôt et placement du Québec (CDPQ) has committed US $20 million to Fundamentum first growth fund, Fundamentum Partnership – Fund I.

Co-founded by Chairman, Nandan Nilekani (co-founder of Infosys) and Sanjeev Aggarwal (founder of Daksh, Helion), Fundamentum is a scale-up platform for mid-stage technology companies in India.

With a target of US $100 million, Fundamentum Partnership – Fund I is expected to invest an average of up to US $15 million in select startups. It will focus on investments in consumer and enterprise technology businesses across retail, logistics, travel and outsourcing. Fundamentum will combine financial and intellectual capital to scale these businesses.

CDPQ said the investment in Fundamentum’s first growth fund (Series B and C capital) is a new strategic investment, enabling it to diversify its activities in India, a priority market. In addition to the investment in Fundamentum, CDPQ will also explore direct investments in Fundamentum’s portfolio companies.

photo credit: Fundamentum

News Release

CDPQ to support Fundamentum, a unique investment platform in India

Private Equity Montréal et Bangalore, March 29, 2018

Investment of US$20 million in Fundamentum Partnership – Fund I

To explore direct investments in Fundamentum’s portfolio companies

La Caisse de dépôt et placement du Québec (CDPQ), a leading institutional investor, today announced an initial investment of US$20 million in the first growth fund of Fundamentum, “Fundamentum Partnership – Fund I”.

Designed for entrepreneurs by entrepreneurs, Fundamentum is a scale-up platform for mid-stage technology companies in India. Fundamentum benefits from the experience of its two founders, Nandan Nilekani (co-founder of Infosys) and Sanjeev Aggarwal (founder of Daksh, Helion), alongside a network of Indian entrepreneurs and key investors. With a target size of approximately US$100 million, Fundamentum Partnership – Fund I is expected to invest an average of up to US$15 million in select startups. It will focus on investments in consumer and enterprise technology businesses across retail, logistics, travel and outsourcing. Fundamentum will combine financial and intellectual capital to scale these businesses.

The investment in Fundamentum’s first growth fund (Series B) is a new strategic investment for CDPQ, enabling it to diversify its activities in India, a priority market. In addition to the investment in Fundamentum, CDPQ will also explore direct investments in Fundamentum’s portfolio companies.

Michael Sabia, President and CEO, CDPQ said “The Fundamentum management team has a remarkable track record in the technology sector. By fostering long-term investments and acting as a mentor to companies, the team provides an entrepreneurial approach that is fully aligned with that of CDPQ. As India ranks as the world’s third largest technology start-up hub, this new partnership will enable the selected start-ups to scale their businesses and participate in one of the fastest growing parts of the country’s economy. We view this as the beginning of a long‑term partnership leading to subsequent rounds of investment.”

Nandan Nilekani, Cofounder, Fundamentum said “We are pleased to welcome CDPQ to the Fundamentum platform. We will greatly benefit from CDPQ’s knowledge of global trends and deep investment expertise. Both Fundamentum and CDPQ are bullish about the opportunity to build a host of large and enduring world-class organizations out of India, in the next decade and beyond. I expect this long-term partnership to deliver tremendous value to the technology entrepreneurship ecosystem in the country.”

ABOUT CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC

Caisse de dépôt et placement du Québec (CDPQ) is a long-term institutional investor that manages funds primarily for public and parapublic pension and insurance plans. As at December 31, 2017, it held CAD 298.5 billion (USD 238.2 billion) in net assets. As one of Canada’s leading institutional fund managers, CDPQ invests globally in major financial markets, private equity, infrastructure, real estate and private debt. For more information, visit cdpq.com, follow us on Twitter @LaCDPQ or consult our Facebook or LinkedIn pages.

About Fundamentum

Fundamentum is a one-of-a-kind scale up platform committed to help build enduring technology companies out of India. Fundamentum is founded by Nandan Nilekani and Sanjeev Aggarwal; both of whom come with a stellar record in entrepreneurship and investing. With an initial corpus of $100 Million extendable to $200 Million, Fundamentum will invest in consumer technology businesses, particularly ventures that are solving unique Indian problems. It will lead investment rounds from $10-25 Million in companies that have attained the product market fit, have an initial momentum and are looking to scale up. Fundamentum is a platform for entrepreneurs by entrepreneurs and will have on board India’s leading entrepreneurs, as investors and mentors. For more information, log on to www.fundamentum.co.in


Ted Liu
Ted Liu, M.Sc. (Mining), MBA (Finance), is the Editor of Private Capital Journal, TechnologyMetals.ca, GoldSilverMetals.ca, and former Editor of Canadian Private Equity. Ted has been passionately tracking Canadian private capital industry since 1992, most recently served as Research Director for The Canadian Venture Capital and Private Equity Association (CVCA). Ted is President of CPE Media Inc., an independent, trusted and unbiased data provider tracking Canadian VC/PE, private capital industry.
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