HDFC Bank inks pact with 100X VC to support start-ups; stock slips ~1.5%

14 Jun 2022 , 02:31 PM

HDFC Bank has signed a Memorandum of Understanding with 100X VC, a leading early-stage venture capital firm, to engage more deeply with the start-up community. The Bank has agreed to provide its full suite of specialized services and facilities tailored for start-ups, known as Smart-Up, to all the firms associated with 100X VC. It will also facilitate additional credit facilities and evaluate investment opportunities in these start-ups.

HDFC Bank and 100X VC seek to work together in mutually beneficial areas under this MoU. HDFC Bank will be the primary Bank for all of 100X VC’s investee companies. With the help of this collaboration, the bank visions an enhanced ecosystem by supporting innovation and entrepreneurship.

HDFC Bank and 100X VC also look forward to conducting joint programs for start-ups such as Master Classes. Further, the bank will evaluate start-ups referred to it by 100X VC for investment, and to extend loans.

Mr. Abhishek Deshmukh, Banking Head of Maharashtra Branch, and Mr. Yagnesh Sanghrajka — Founder & CFO, 100X VC signed the MoU in presence of Mr. Sanjay Mehta, Founder & Partner, 100X.VC; Mr. Ninad Karpe – Partner, 100X VC, and other senior officials of the bank.

Mr. Abhishek Deshmukh, commented, “India is one of the largest and rapidly growing start-up ecosystems in the world.  In the first half of 2022 itself, 15 start-ups marked their place as unicorns. In the past decade, we have witnessed the revamping of the start-up ecosystem with a more sustainable business model in the form of venture capital.

100X VC has performed transformational work in the early-stage ecosystem since its launch 3 years ago and we plan to leverage its expertise in mentoring start-ups identified by HDFC bank. Together, we hope to continue growing our objectives of contributing to the Indian start-up ecosystem.”

At around 2.38 PM, HDFC Bank was trading at Rs1,311 per piece, down by Rs16.3 or 1.23% from its previous closing of Rs1,327.30 on the BSE. The scrip touched intraday high and low of Rs1,326.15 and Rs1,306.20 respectively.