APIDC Venture Capital Limited has announced the appointment of Narayanan Vaghul as the chairman, investment committee of their biotechnology fund. He is currently chairman of the Board of ICICI Bank Limited, which is the second largest bank in India.
Vaghul said, "Biotechnology is an area where India has significant advantages, and the major growth has to come from start-up and early stage enterprises like in the west. The most critical ingredient for the success of these enterprises is early-stage venture capital. However, less than a handful VC's are addressing early stage venture capital requirements in India today. APIDC VCL fills this gap perfectly."
He added, "It is very encouraging that in a tough environment for early stage venture capital funds, the Biotechnology Venture Fund, the first-of-its-kind in the country has attracted the support of prestigious financial institutions, banks, and insurance companies for investment to reach the targeted Rs.150 crore."
Speaking on the occasion, SM Balasubramanyam, the chairman of APIDC VCL said, " We are pleased to have Vaghul join as the chairman of the investment committee of the Biotechnology Venture Fund. Vaghul is considered the father of Indian Venture Capital industry in India. It is this experience of Vaghul in supporting early stage companies, that will be invaluable in shaping the decisions of the investment committee."
Sarath Naru, managing director of APIDC VCL said, " We also see a naturally symbiotic relationship emerging with ICICI Ventures as a result of Vaghul's association. Venture Capital investing is typically a collaborative effort, as proven in the USA, and APIDC VCL's portfolio companies have received co-investments from a number of VC's in the past. We also have formal relationships with UTI Ventures, Technology Development Board, ICRISAT Incubator, etc."
Vaghul joined ICICI in 1985 as chairman and CEO and relinquished his position as CEO in 1996. During his eleven-year tenure he transformed ICICI to a well-diversified financial conglomerate. He was instrumental in starting an investment bank, a commercial bank, an asset management company, India's first credit rating company CRISIL, as part of the ICICI group.
Importantly, Vaghul was responsible for the launch of India's first venture capital company TDICI, now called ICICI Ventures. He initiated venture capital activity in ICICI in the late 80's and then created its wholly owned subsidiary, TDICI to provide technology venture capital. He lead TDICI as its chairman till 1996, presiding over the VC support activity that lead to the creation of a number of biotech/pharma leaders in India.
In addition to being the chairman of ICICI Bank, Vaghul is also the chairman of India's first asset reconstruction company (ARC), and the chairman of ICICI Knowledge Park.