New Enterprise Associates (NEA), the US-based venture capital fund fund, is nearing a close of its $2.5 billion fund. The fund is waiting for California Public Employees' Retirement System (CalPERS), one of the largest limited partners of private equity industry, to make a formal capital commitment announcement, Bloomberg. The fund can raise upto $3 billion. NEA has invested in more than half a dozen companies in India which include Sasken, Novatium and ISGN Technologies. It also has a presence through its affiliate fund called NEA-IndoUS Ventures, which is a $189 million fund.
NEA, last year hired Bala Deshpande, who was a senior director of the private equity team at ICICI Venture. NEA globally manages assets exceeding $8.5 billion and has its India office in Bangalore. Its India advisory team comprises of Ben Mathias (Vice President), Jerry Rao and Amit Sharma (both Venture Advisors).
NEA is closing its fund in a market where institutional investors like pension funds and endowments are increasingly cutting their investments in private equity/venture capital funds. Many funds are also scaling back their targets. NEA's direct investments in India are done through it's global fund.
Several India focused funds have also managed to close their funds recently. Actis recently raised a $2.9 billion private equity fund, $1 billion of which it plans to committ to India. There is also US based venture capital firm Mayfield, which has raised a $110 million India-dedicated fund. Also Delhi-based Jacob Ballas Capital closed its third fund at $440 million.