Cedar-IBSi Capital on November 16, Saturday, said it is looking to invest in 10 to 15 startups working in the banking and insurance technology segment to expand its footprint in the country.
“The fund plans to build a portfolio of the companies, allocating a budget within the range of Rs 4-10 crore, with an intensified focus on financially strengthening eight to 10 high-performing companies,” it said. The fund has already gathered commitments in the range of Rs 50-75 crore from its Rs 240 crore early-stage fund launched in 2023, it added.
“We are focusing on investing in startups which offer unique products and innovative tech to help improve efficiency at financial institutions. We have made our first investment in Cogniquest AI, an intelligent document processing tech company and are looking forward to announcing our second investment shortly,” Sahil Anand, Founder and Managing Partner, Cedar-IBSi Capital, said.
The business-to-consumer disruption has taken place in the last five to eight years, but the software and core infrastructure of banks, insurance companies, and other players remain outdated and old-fashioned, he added.
“We will aim to fill the gap in this space,” Anand said.
The company said it will seek to invest in early-stage banking tech-focused startups in their seed to Series A rounds. “The fund will focus heavily on backing seasoned entrepreneurs who are building solutions and technology in the area of BFSI (Banking, Financial Services, and Insurance) Technology; and enterprise fintechs,” he added.
