Stride Ventures marked the first close of its third fund at $100 million as the homegrown debt firm plans to capitalise on India’s increasing venture debt market. This comes when private equity investing has fallen amid macroeconomic headwinds.

On May 9, it scheduled to raise another $100 million for the fund’s final close. The company introduced the payment four months after receiving a fund license.

The first close is an important juncture for venture capital and debt firms, post which these companies deploy the capital.

The firm said the Indian venture debt market is anticipated to attain an annual deployment of $3 to 4 billion by 2025. The firm backed 100 plus startups, including Sugar Cosmetics, The Good Glamm Group, Mensa Brands, Exotel, Yubi, MoneyView, VideoVerse, Miko, Perfios, HealthifyMe, Ace Turtle and Waycool, among others.

The firm successfully distributed over 100% of its obligations, including coupon payouts and principal reprieves, to the early investors of its Fund 1.

Without publicising their names, the third fund obtained backing from varied institutional investors, including banks, insurance companies, and family offices.

Through the fund, it would invest in fast-growing startups that display substantial business models, vital unit economics, and skilled management squads.