Burman Family Office to Invest Rs 250-300 Crore in Net Ventures

New Delhi:
Family offices are being favoured by more and more Indian entrepreneurs building early-stage ventures, as they have a long-term investment approach & brand recognition
The Burman Family Office, the private investment arm of the promoters of Dabur India, plans to invest between ` . 250 crore and `. 300 crore this financial year across asset classes, including in technology and consumer internet ventures, as well as in sectors such as food, hospitality and healthcare. The move comes at a time when family offices are increasingly being seen as investors of choice by a number of Indian entrepreneurs, not just for their long-term investment approach, but also for the brand recognition they bring to early-stage ventures looking to establish themselves.Led by Gaurav Burman, the Burman Family Office will allocate capital ranging between ` . 20 crore and `. 100 crore. “Yes, we are inter ested in investing in consumer internet ventures. We would like to find business that are not pure startups, but have traction. We don’t, therefore, end up taking on much venture risk,“ Burman said.

Set up in the mid-90s, the Burman Family Office has made a mix of both public and private equity investments, much of it focused on the financial services space.

The investment arm has picked up stakes in Karnataka Bank and RBL has entered into a number of joint ventures, such as its partnership with insurance giant Aviva to set up one of the country’s largest life insurance companies.

“Given that this is generational business, in the mid-90s we decided to take a generous portion of our dividend income and invest in new businesses, and we decided to do that as a group rather than individually, because as a group we have more capital to invest, drive better deals, find better opportunities, leverage each other’s networks,“ Burman said.

Burman said all the investments are made by family members utilising their personal wealth, and not out of Dabur’s balance sheet. The Burman Family continues to hold about a 70% stake in Dabur, which has a market capitalisation of about `. 46,800 crore.

The Burman Family Office, which has invested about ` . 2,000 crore till date, is looking for opportunities in the digital space as well.

“We would like to do more in the online space. The mandate I have is to invest capital that can be harvested by the next generation,“ Burman said.

Apart from the Burmans, other prominent family offices actively investing in the country are PremjiInvest, the personal investment arm of Wipro Chairman Azim Premji; Infosys co-founder NR Na rayana Murthy’s Catamaran Ventures; and former Disney-UTV head Ronnie Screwvala’s Unilazer Ventures.

“Family offices are breaking out from their current wealth segment and are undertaking angel, seed and PE investing,“ said Soumya Rajan, co-founder and chief executive of Waterfied Advisors, a boutique firm that advises India’s family offices on succession planning and creating trusts.

 Source: The Economics Times
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Author:

Neeraj; an entrepreneur & a visionary in the field of Railway, Defense & Automobiles, is a graduate in commerce and a Harvard Business School Alumni. He’s an expert in govt. liasoning & contracting and has an exceptional network & connections at both local as well as global level. He’s an expert in Market Strategy & Planning and has served number of overseas companies as an advisor/consultant. He takes a profound interest in upcoming startups & is very receptive towards ground-breaking ideas & innovations. He likes to brainstorm those ideas and if the values & philosophies matches; he is even ready to invest his resources, serve as a mentor or act as an incubator to futuristic businesses.

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