Alteria Capital, a leading venture debt firm, has secured the International Finance Corporation (IFC) as an anchor investor for its Shorter Duration Scheme (SDS). This marks IFC’s first-ever investment in the global SME credit segment, a significant milestone for both the investment firm and the broader startup ecosystem.
While the exact size of SDS remains undisclosed, Alteria’s total Fund III target ranges between $250 million and $300 million, with $186 million already secured for its Venture Debt Scheme. SDS, launched in March 2023 as part of Fund III, is designed to provide short-term capital (less than 18 months) to high-growth startups in key sectors such as fintech, consumer, and electric vehicles (EV).
Despite the fund’s final closure still pending, it has already deployed capital in promising startups, including Ivy Homes, Swara Fincare, Moneyview, and TEN x YOU. With a vision to support 50 startups through SDS over the next two and a half years, Alteria is actively working to expand its reach.
Vinod Murali, Managing Partner at Alteria Capital, highlighted that the firm is in discussions with both foreign and domestic investors to raise additional funds. Meanwhile, IFC’s Regional Director for South Asia, Wendy Werner, emphasized the importance of innovative financial solutions in bridging funding gaps and strengthening India’s startup ecosystem.
To date, Alteria Capital has invested over $800 million in Indian startups, backing high-profile companies like Spinny, Ola Electric, One Card, Ather, and Jupiter. With IFC’s backing, Alteria is poised to further accelerate its impact on India’s growing venture debt market.
