(Bloomberg) --India's largest airline IndiGo, operated by InterGlobe Aviation Ltd., has received approval from the country's markets regulator to launch a venture capital fund as it seeks to boost the South Asian nation's travel and aviation market.
IndiGo Ventures will start investing by the end of the financial year to March 31, the Gurugram-based airline said in a statement Tuesday. The fund will invest in pre-series A, series A, and series B funding rounds in consumer firms in aviation and allied sectors, including travel, lifestyle, hospitality and food and beverages. It has started engaging with “select” startups, according to the statement, which didn't give further detail.
“The startups will benefit from IndiGo's extensive technical expertise and diverse geographical imprint, leading to the development of new products and services,” Chief Digital and Information Officer Neetan Chopra said in the statement.
IndiGo's fund aims to bolster India's aviation and travel industry, which it hopes will benefit the airline as well. The carrier commanded 63% of India's domestic market share as of September and has ambitious plans amid increasing competition, as it starts bookings for its premium product dubbed IndiGoStretch. It has an order of 30 Airbus A350-900 planes to begin international long-haul operations.
The airline reported a net income of 27.3 billion rupees ($326 million) in the three months ended June 30.
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