VC Decision-Making in India: Aavishkaar and Milk Mantra (B)

By Ilya A. Strebulaev, Justin Randolph
2013 | Case No. E482(B) | Length 13 pgs.

The case profiles the protagonist, Vineet Rai, managing partner of Aavishkaar Venture Management Services (an Indian, early stage VC firm with a focus on rural, underserved regions and sectors), as he seeks to build on the initial traction of his first venture fund and strives to raise a second, larger, and more ambitious fund.

The case discusses Rai’s “lessons learned” from his first fund (profiled in Case A), and discusses how such lessons have informed a changed approach to the Aavishkaar thesis and fund structure. It also provides a series of snapshots from prospective LPs in the fund being raised.

Also see E482(A): VC Decision-Making in India: Aavishkaar and Milk Mantra (A).

Learning Objective

To provide an overview of early stage investing in India and the country’s entrepreneurial ecosystem, via the use of an example of an Indian venture fund and a prospective investee. To discuss the differences and similarities between the venture capital process in the U.S. and India. To illustrate the challenges and opportunities of investing in a nascent geography and sector. To illustrate the point of view of a limited partner considering making an investment in a still nascent concept.
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