Canadian investor CDPQ invests $20 million in Nandan Nilekani's Fundamentum

According to CDPQ president and chief executive officer Michael Sabia, India ranks as the world's third largest technology start-up hub and this new partnership will enable the selected start-ups to scale their businesses.

"We view this as the beginning of a long-term partnership leading to subsequent rounds of investments," he said.

Fundamentum is a scale-up platform for mid-stage technology companies in India founded by Nilekani and Sanjeev Aggarwal the founder of Daksh and Helion Venture Partners, alongside a network of Indian entrepreneurs and key investors.

With a target size of approximately USD 100 million, Fundamentum Partnership - Fund I is expected to invest an average of up to USD 15 million in select startups.

It will focus on investments in consumer and enterprise technology businesses across retail, logistics, travel and outsourcing.

"We will greatly benefit from CDPQ's knowledge of global trends and deep investment expertise. Both Fundamentum and CDPQ are bullish about the opportunity to build a host of large and enduring world-class organisations out of India, in the next decade and beyond," said Nilekani.