Nexus Venture closes $700 million fund to double down on AI and tech bets

Nexus Venture Partners has announced the close of its latest fund of $700 million as it aims to support startups in artificial intelligence (AI), enterprise technology, as well as consumer and fintech sectors in India and the US.

The Delaware-based venture capital firm has invested in more than 130 companies since its founding in 2006 and has made more than 30 exits, some through initial public offerings. Over the years, the firm has invested across its technology stack, ranging from open source infrastructure and developer platforms to newer agency AI companies, consumer and fintech companies.

“Every layer of the technology stack, from infrastructure to applications, is being rewritten by AI. Agency AI is transforming the way work is done and bringing a whole new wave of empowerment and automation across industries,” the firm said in a statement. “With Fund VIII, we are doubling the number of visionary entrepreneurs solving the toughest problems and shaping the next wave of global innovation.”

Many unicorns

The company, which has offices in Menlo Park in San Francisco as well as Mumbai and Bengaluru, has supported many startups that have become companies worth more than $1 billion. Some of its portfolio companies include flash commerce player Zepto, ride-hailing platform Rapido, business-to-business marketplace Jumbotail, mapping data company MapmyIndia (later acquired by Flipkart), test-prep education tech Unacademy and SEDEMAC Mechatronics, a control systems maker that also filed draft documents for an IPO with the market regulator in November.

The firm is also an investor in some fast-growing verticals, such as express delivery fashion, with a $10 million investment in Slikk, and express maid service Snabbit, which raised $1 million in seed money from venture capital funding.

Nexus was also part of AI infrastructure company Neysa’s $20 million seed round led by Z47 (formerly known as Matrix Partners India) last year. It was also part of the startup’s $30 million Series A led by NTVVC and Z47. According to the Economic Times, Neysa is considering raising funds again and is reportedly in talks with Masayoshi Son’s SoftBank and American investment firm Blackstone.