Combating climate change is the call of the time. Venture studio IndusDC is dedicated working towards it. It has emerged with an aim to reduce global CO2 emissions. It has committed Rs 100 crore to fund Indian startups focusing on hard tech innovations. The investment is set for fiscal years 2025 and 2026. It is a blend of finance model designed to nurture as well as grow startups in global CO2 emissions sector.
Industrial and energy sectors are responsible for more than 70% of global CO2 emissions. IndusDC aims to target the high-impact areas. Its goal is to cut down 1 gigatonne (GT) of CO2 emissions by 2035. It will kick off with identification and co-building of five startups in India in the period of next two years. The target is to expand to more than 50 startups globally in about 10 years time period.
IndusDC’s blended finance approach is a combination of grants, equity and debt. Each startup will have access to Rs 20 crore. The fund is allocated as grants for tech development to support initial technological advancements, equity for early revenue to assist startups in reaching profitability as well as debt or working capital for scaling operations beyond profitability. Startups need to focus on value creation without the pressure of raising equity capital. It is uniquely designed to support the entire journey.
IndusDC has so far secured a commitment agreement for its first five startups from Mirik Gogri of Spectrum Impact, which is the family office of Aarti Industries Ltd promoters. It is also backed by a couple of notable entrepreneurs and investors such as Ashish Gupta of Helion Venture Partners and Sri Myneni of Knoah Solutions. It has also secured additional commitments from strategic investors for grants, equity and debt.
