Info Edge’s startup bets have shrunk over the past two years

Consumer internet firm Info Edge has made fewer investments in terms of volume over the last two fiscal years. The size of its investment cheques has also been declining since FY22 compared to the larger amounts it historically invested, data showed.

Specifically, the parent company of Naukri.com made 18 startup investments in FY24 and 10 in FY25. In contrast, it invested in 21 new-age tech firms in FY23. This data does not include any investments made in the calendar year 2025, if applicable.

“Given that the natural predisposition of an early-stage investment is to go nowhere as opposed to become a multi-bagger, it is even more incumbent upon us to evaluate risks and diversify or mitigate them wherever possible,” founder and executive vice chairperson Sanjeev Bikhchandani, said in the letter to shareholders late Tuesday evening, which was also filed with the exchanges. 

“Our first checks into early stage companies are usually small and we go in with larger checks only when the company has progressed and the risk is lower,” he said.

The company, with large investments in startups like PBFintech and Zomato, has also seen a decline in its cheque sizes. In FY25, the average cheque size of Info Edge’s investments stood at ₹13.96 crore. In FY20, it was ₹86.84 crore. 

To be sure, Info Edge made follow-on investments in some companies which would have inflated early investments ticket sizes, as per Info Edge’s data.

After turbulent two years with corrections in startup valuations and operational headwinds, Info Edge said its investment portfolio is now stabilizing.

“We have invested in 111 companies across the years, not including investments in startups in the spaces that Info Edge has operating businesses. Out of these, 76 companies have institutional co-investors or follow-on investors. Several of our live investments on the basis of their growth, profitability and market share are beginning to look like potential winners,” said Bikhchandani.

Info Edge began investing in early stage technology startups in 2007. “This investing activity today contributes to an estimated 30-40% of the value of the Company if analyst reports are to be believed – second only to the contribution of Naukri.com,” Bhikchandani added. 

Also read: ₹30,000 crore in market cap. Blame Zomato and PolicyBazaar.”>Info Edge has shed ₹30,000 crore in market cap. Blame Zomato and PolicyBazaar.

Successful bets

Info Edge’s successful bets include Zomato and Policybazaar with combined market capitalization of over ₹2.5 trillion. “The value of our shareholding is over ₹31,500 crore.” The company has invested a total of ₹483.78 crore and ₹591.4 crore respectively in the two companies.

The company only doubled down on existing investments between 2012 to 2015, and started taking fresh bets only from 2016 to 2019 in companies like Adda247 and Shipsy among others. In 2019, Info Edge set up a venture capital fund, namely Info Edge Venture Fund (IEVF) in the form of a Sebi- registered AIF vehicle. 

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“Almost all the money we have made is via IPOs. We have not experienced large-sized M&A deals as potential exit events in the Indian market,” Bikhchandani added.

He also emphasised on the need for governance in startups early on. “One lesson we have learnt from our innate belief and the Info Edge experience is that good governance matters… Well governed companies get higher multiples, attract and retain talent easier, earn customer and investor trust, find it easier to attract high quality independent directors and are more respected,” he added.

Info Edge wrote off its entire ₹532 crore investment in Rahul Yadav’s proptech startup, 4B Networks, after alleged suspicious transactions in the company’s books.  

On Wednesday, Info Edge shares were trading 1.5% lower on the National Stock Exchange at ₹1,376 apiece in a largely flat market.

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