Tata Capital Innovations Fund invests $5 million in Alef Mobitech Solutions.
Tata Capital Innovations Fund, the technology-focused venture capital fund of Tata Capital, has invested $5 million (about Rs 33.4 crore) in Alef Mobitech Solutions, a unit of New Jersey and Mumbai-based mobile internet enhancement company Alef Mobitech Inc, the domestic VC fund announced on Tuesday.
Proceeds from the investment round will be used by Alef Mobitech Solutions to strengthen its business development, marketing and R&D initiatives, in its bid to establish a leadership position in the mobile internet space, according to a press statement. The financial terms of the transaction, however, were not disclosed. "The consumption of data in general and videos in particular, is increasing exponentially. While smart phones have become ubiquitous, the current mobile technologies available are unable to handle the enormous growth in mobile data. Alef's solution enhances customer experience on mobile networks by providing rich, high quality mobile content along with superior quality interactions," said Vineet Chadha, partner, Tata Capital Innovations Fund. Alef Mobitech Inc has developed a mobility-cloud interconnect platform and solution suite that claims to enhance user engagement, by increasing relevance and responsiveness of mobile internet applications. "The Fund liked the strong product domain knowledge of the team and is pleased to participate in Alef Mobitech's growth journey," Chadha said in the official press release. SEBI-registered, sector and stage-agnostic Tata Capital Innovations Fund, primarily focuses on 'technology led' innovations for India and beyond. The domestic VC firm typically invests between $3 million and $8 million, catgorising it as an early-to-mid-stage investor. "Alef is committed and driven to create an enabling ecosystem to bring about transformative changes, poised to significantly impact the trillion dollar mobile internet market. We are proud to associate with the Tata Capital Innovations Fund on our journey," said Ganesh Sundaram, founder of Alef Mobitech. Apart from Alef Mobitech Solutions, the fund has made a number of investments in broader clean technology and healthcare segments, having backed solar powered ATM manufacturer Vortex, clean and safe drinking water services provider Water Health and oncology-focused diagnostics platform Mitra Biotech, among others.