Details about Infosys director V Balakrishnan’s new fund have started surfacing. The former Infosys CFO & Director who announced his resignation last week, will join former colleague Mohandas Pai, Ex Wipro Chief Executive Girish Paranjpe and others in a fund called the Exfinity fund.
Deepak Ghaisas, the former CEO of iFlex, investor Rajiv Kuchhal and Sunil Mantri of Mantri Realities are also part of the fund to which each one of them have contributed Rs 20 cr, reports The Economic Times. The fund, which is looking to raise Rs 125 cr eventually, wants to invest in 15-17 technology startups in India.
Last month, Balakrishnan sold all of his daughters Infosys shares worth Rs 33 cr.
Balakrishnan will also dabble in social entrepreneurship. According to a report in TOI, he will be appointed as the Chairman of Bangalore based peer-to-peer lnding platform MicroGraam. He was already the director of the company which offers small loans to borrowers.
His predecessor Mohandas Pai who quit the company in 2011, joined the Manipal group and also floated a fund called Aarin capital. Bala, as he is known, is currently part of the Unitus Seed Fund, an impact investing fund in which Pai and former Infosys board member Ravi Venkatesan are investors.
With the new companies Act asking Indian corporates to spend at least 2% of their profits on CSR, impact investing funds are likely to crop up in the coming days. In March when NextBigWhat interviewed Infosys’ Kris Gopalakrishnan had said that hte IT giant may look at investing a small portion of its profits on startup incubators.
The government in its 2013 budget said that spending on technology incubators can now be counted under corporate social responsibility expense. Also, the new companies bill mandates corporates to spend 2% of their net profit on corporate social responsibility activities. Corporates have asked the government for tax benefits for the CSR spend.