VC firm Omnivore announces first close of third fund at $150 million

Venture capital firm Omnivore on Wednesday announced the first close of its third fund at $150 million, amid an increased investor focus on clean technology. The Omnivore Agritech and Climate Sustainability Fund, which was launched in April 2022, will focus on start-ups developing breakthrough technologies for agriculture, food, climate, and the rural economy.

The first close investors include KfW, the Self Reliant India (SRI) Fund, FMO, SIFEM, the International Finance Corporation (IFC) with support from the Bill and Melinda Gates Foundation Inclusive Agritech Facility, Louis Dreyfus Company Ventures, the Dutch Good Growth Fund (DGGF), the Belgian Investment Company for Developing Countries (BIO), and Yara Growth Ventures.

“The greatest risk and opportunity for Indian agriculture are the adverse effects of climate change. Our new fund will have a sharper focus on catalyzing climate action in agriculture by funding startups addressing climate mitigation and climate adaptation,” said Mark Kahn, Managing Partner at Omnivore.

With their third fund, Omnivore expects to make 25-30 new investments in seed and series A rounds of agritech startups and MSMEs, with initial cheque sizes ranging between $1 million and $5 million.

“We're grateful to our investors who share Omnivore’s vision of making India an agritech superpower that positively impacts the lives of smallholder farmers globally,” Jinesh Shah,Managing Partner,  Omnivore.

Founded in 2011 by Mark Kahn and Jinesh Shah, Omnivore funds Indian start-ups building the “future of agriculture and food systems,” and has made investments in 40 start-ups. Omnivore raised $82 million for its second fund, which had a final close in April 2019. Some of Omnivore’s portfolio companies include DeHaat, Arya, Stellapps, Reshamandi, Ecozen, Aquaconnect, and Pixxel.

Over the past year, Omnivore has exited two agritech start-ups. In July 2022, Omnivore sold its stake in aquaculture IoT start-up Eruvaka to Nutreco, a leader in animal nutrition and aquaculture – its largest exit in Indian agritech to date. Later, in March 2023, Omnivore sold its stake in precision sprayer manufacturer MITRA to farm machinery giant Mahindra.