Investments by Premji and venture capitalists are being evaluated as Amagi prepares for a significant stock market debut
Premji Invest Cashes Out on Tech Portfolio Company, Signaling a Series of Exits for VC Investors
In a significant move, the investment firm Premji Invest, the family office of Wipro founder chairman Azim Premji, has sold its stake in a tech company, marking a notable event in the tech industry. The exact identity of the tech company is not disclosed.
This exit is part of a series of exits for venture capital investors, although the number of such exits is not specified. For Premji Invest, the exit is considered a dream harvest, a term that suggests a highly successful investment. The reasons for this success are not detailed.
Premji Invest's involvement with the tech company began more than 10 years ago, but the exact year is not mentioned. Apart from Premji Invest, other venture capital investors are also looking at a payday from the tech company's exit, although the exact amount is not specified.
In addition to the tech company exit, Premji Invest has been active in the market. Recently, the firm sold 2.94 million shares of Medplus Health Services in an open market transaction, generating about Rs 200 crore. Premji Invest’s affiliates also made several bulk and block purchases in November 2024, including acquiring 1.62% of Wipro shares through a block deal valued at Rs 4,757.43 crore, buying small stakes in Ambuja Cements, Divi’s Laboratories, and Godrej Consumer Products.
Premji Invest is also backing new generation tech and fintech ventures alongside other VCs. For instance, the firm is among the selling shareholders in the IPO of Amagi Media Labs, a cloud-based SaaS company focused on video infrastructure. The IPO is aiming to raise Rs 1,020 crore via a fresh issue and an offer-for-sale involving existing marquee investors like Accel, Norwest Venture Partners, and General Atlantic.
Moreover, Premji Invest is co-leading a large Rs 1,200 crore investment round in Weaver Services, a housing finance company targeting Tier 2-4 regions. The aim is to boost Weaver’s acquisitions and growth, reflecting growing investor appetite in financial services for underserved markets.
Here is a summary of Premji Invest's recent transactions:
| Investor | Transaction Type | Details | Value (Rs crore) | |--------------------|------------------------------------------|--------------------------------------------------------------------|------------------------| | Premji Invest | Sale of Medplus Shares | Sold 2.94 million shares in open market | 200 | | Premji Invest (affiliate) | Block Deal on Wipro Shares | Bought 1.62% stake via block deal | 4,757.43 | | Premji Invest | Bulk purchases | Small stakes in Ambuja Cements, Divi’s Labs, Godrej Consumer Products| Various (minor) | | Premji Invest + Others | IPO Filing for Amagi Media Labs | IPO to raise Rs 1,020 crore; Premji Invest selling shares via OFS | Rs 1,020 crore (IPO size) | | Premji Invest + Lightspeed | Funding round for Weaver Services | Co-leading Rs 1,200 crore round to expand housing finance | Rs 1,200 crore (round) |
These activities indicate Premji Invest’s strategic moves to monetize established holdings while simultaneously backing promising new generation tech and fintech ventures alongside other VCs for potential high growth and returns.
The sale of a tech company's stake by Premji Invest signifies a strategic move in the venture capital investing business, as part of a series of exits that are expected to reap significant returns. Premji Invest, known for their investments in tech and fintech, recently sold shares of Medplus Health Services, generated proceeds, and made bulk purchases in various businesses, while also co-leading a large investment round in Weaver Services.
