Physis Capital Secures Over INR 200 Cr in First Fund

123

Physis Capital isn’t just another VC fund rolling out press releases with fancy numbers—it’s a real-time play at building India’s next generation of tech-first disruptors. Spearheaded by the folks behind Inflection Point Ventures, this freshly-minted venture outfit has already bagged over INR 200 crore for its debut fund. The target? INR 400 crore. They’re halfway through and looking aggressive. With a 2022 launch date, the fund is designed for bets on early to mid-stage startups—those crucial Pre-Series A to Series B rounds—with starter cheques of $1–1.5 million and follow-ons stretching to $4 million. The focus: serious tech, real problems—fintech, SaaS, deeptech, logistics, and beyond.

Already, three startups have made it into their war chest: CTPL (edtech), Ben & Gaws (steel fabrication), and STAGE (regional OTT). Big names are showing up to the table too—SUD Life, Narayana Nethralaya, Haldiram’s family office, and Lotus Holdings. And that INR 400 crore target? It’s within reach, with the firm planning to wrap things up in 6 to 9 months. Eight more startups are circling in the pipeline.

All this comes at a moment when Indian VC is red-hot. Q1 2025 alone saw $3.2 billion across 23 funds. Physis Capital, in this frenzy, is carving a path that isn’t just about writing cheques—it’s about building legacies with CXO-level brainpower backing each founder.

1. Introduction to Physis Capital and Its Maiden Fund

You could call Physis Capital “new,” but that would ignore the pedigree. The firm is the brainchild of Vinay Bansal, Ankur Mittal, and Mitesh Shah—names that carry weight in India’s VC corridors. They’re the same trio behind Inflection Point Ventures, a platform that helped multiple Indian startups punch above their weight.

Their latest baby? A INR 400 crore war chest aimed squarely at startups between early and growth stages. Think high-conviction plays across fintech, SaaS, edtech, enterprise tech, deeptech, and logistics. So far, INR 200 crore is in. Not bad. Not even close to done.

2. Founders and Their Vision

2.1 Founding Team Background

Let’s be blunt—this isn’t a group of wide-eyed newcomers figuring out term sheets on the fly. Bansal, Mittal, and Shah have been around the block. Their track record at IPV gave them both scars and stars. Physis Capital is them doubling down on a more intimate, more curated investing philosophy—less spray-and-pray, more build-and-believe.

2.2 Vision and Investment Philosophy

They’re not here for vanity metrics. The trio backs founders who solve gnarly, messy problems with real tech muscle. And they’re obsessed with scale—measured not just in revenue, but in ripple effects. Mentorship? Not lip service. Physis brings in seasoned execs and global minds who’ve lived through exits, pivots, and crashes. Founders don’t just get funding—they get firepower.

3. Working Model and Services

Physis Capital operates in the murky middle—a space where startups aren’t infants but aren’t yet adults. Pre-Series A to Series B is where dreams often stall or soar. Their cheques start modestly ($1–1.5 million), but if you prove your chops, follow-ons go up to $4 million. This isn’t passive capital. Expect late-night calls, strategy rewrites, and market-entry bootcamps. Their global advisor network acts like an accelerator on steroids—connecting founders with operators who’ve scaled across continents.

4. Funding Details and Investors

Halfway to their INR 400 crore goal, Physis has already roped in an enviable roster of backers:

• SUD Life – a heavyweight insurance joint venture blending Indian banking giants and Japan’s Dai-ichi Life.
• Narayana Nethralaya – a name that carries medical precision and institutional respect.
• Haldiram’s Family Office – not just snacks, but serious capital muscle.
• Lotus Holdings – known for stealthy but significant moves in emerging markets.

That kind of mix—corporates, medical, legacy family offices—shows this fund has diverse appeal. Not just tech bros and unicorn chasers.

5. Portfolio and Investments

Let’s talk bets:

• CTPL: Not just another edtech darling—CTPL is building serious tech to make learning intuitive, immersive, and inclusive.
• Ben & Gaws: Steel isn’t sexy, but someone’s got to innovate in fabrication. This firm’s doing just that.
• STAGE: Think Netflix, but regional and raw. Haryanvi, Rajasthani, Bhojpuri—it’s hyperlocal entertainment with a cultural punch.

Eight more companies are on deck. Term sheets are being drafted. Closures? Expect a flurry in the next two quarters.

6. Problem Solving and Industry Impact

These startups don’t play safe—they tackle friction-heavy sectors where tech can turn chaos into clarity:

• Fintech: Making finance less scary and more accessible.
• SaaS & Enterprise Tech: Cutting fat from bloated workflows.
• Edtech: Shifting from chalkboards to AI-powered classrooms.
• Deeptech: Betting on moonshots that most VCs can’t spell.
• Logistics: Fixing India’s endless delivery and supply chain kinks.

The impact? Not just valuation jumps—jobs, innovation hubs, second-order effects on entire sectors.

7. Industry Trends and Market Context

The Indian startup scene? Electric. According to Inc42, Q1 2025 alone saw a jaw-dropping $3.2 billion raised across 23 VC funds. That includes:

• Accel Capital Fund VIII: $650 million.
• Avendus Fund III: $350 million with more room to grow.
• Bessemer India Fund II: Another $350 million focused on scaling Indian moonshots.

Physis isn’t trying to be the biggest. But in terms of sharp sector bets and brutal founder support? They might just be the smartest.

8. Competitors and Market Position

Yes, Physis Capital swims with sharks—Accel, Avendus, Bessemer, all veterans with deep pockets. But here’s the thing: Physis trades brute scale for strategic intimacy. They aren’t one of those funds where founders never meet the partners post-funding.

Angel networks, accelerators, corporate VCs—they’re all technically in the mix too. But Physis differentiates itself with hands-on mentorship, a diversified thesis, and—this can’t be overstated—a genuine appetite for messy, unsexy problems most VCs ignore.

9. The Journey of Physis Capital

The origin story is recent but intense. 2022: fund launches. May 2023: first close. Fast forward—fundraising momentum, investor diversity, and portfolio traction are all aligning. This isn’t a “spray and see what sticks” outfit. It’s calculated, data-backed, founder-driven investment. The team iterates constantly—refining deal flow, rerouting capital, evolving strategy to stay ahead of market winds.

10. Learning for Startups and Entrepreneurs

Some takeaways if you’re building right now:

• Don’t chase funds. Chase fit. Physis-style investors invest with you, not just in you.
• Know your sector. Focus breeds funding.
• Demand more than a cheque. Ask for guidance, strategy, intros.
• Think global, act precise. Physis’s network is global for a reason.
• Fundraising isn’t Tinder. It’s marriage. Pick wisely. Be patient.

Founders who sync with their capital partners grow smarter, faster, stronger.

Conclusion

Physis Capital isn’t playing the VC game for headlines. With over INR 200 crore locked and loaded, a rock-solid investor base, and a deal pipeline ready to explode, they’re laying the groundwork for something more permanent than hype. Their model is built around founder trust, smart capital, and relentless execution. As India’s innovation engine roars ahead, Physis is positioning itself not just as a player—but as a partner. The kind that sticks around when the lights go out.

About Foundlanes

At foundlanes.com, we don’t chase fluff—we cover the real trenches of India’s startup world. As firms like Physis Capital break ground and back builders, we’re here to shine the spotlight, dig deep, and report the stories that matter—from garage-stage dreams to billion-dollar exits.