TLDR:
- Dhruv Dhanraj Bahl, former COO of BharatPe, has set up a venture capital firm called Eternal Capital.
- The firm has launched its maiden fund with a target of raising Rs 120 crore.
Dhruv Dhanraj Bahl, former COO of fintech unicorn BharatPe, has established a venture capital firm named Eternal Capital. The firm has introduced its first fund, aiming to raise Rs 120 crore with an additional greenshoe option. The fund received regulatory approval in November 2023 and has already received soft commitments worth Rs 102 crore from various entrepreneurs. Notable investors in the fund include individuals such as Suhail Sameer, Deep Kalra, Tarun Mathur, Vikas Gupta, and Nalin Negi.
Eternal Capital’s focus is on providing easier access to institutional deals through a managed fund and leveraging social and intellectual capital. Bahl, who has been investing in startups for the past six years, aims to deploy 75% of the fund across seed and pre-Series A rounds, with the remaining 25% reserved for follow-on rounds. The firm plans to make 30-35 investments over the next three years, with investments ranging from $250,000 to $300,000 in each company.
The fund is mostly sector-agnostic but shows interest in fintech, software-as-a-service, consumer sectors, clean energy, sports, and gaming. Eternal Capital has introduced a unique fee structure, deviating from the traditional 2/20 model followed by VC and private equity funds. The fund is offering incentives to limited partners through a stratified carry and hurdle rate, along with capping the management fee for five years.
