- Singapore-based Aroa Ventures plans to invest between US $500,000 and $5 million
- It will be sponsored by RACo Holding, which is controlled by Ritesh
- Aroa ventures will look at companies with YOY growth of 20%+
OYO founder and group CEO Ritesh Agarwal, has jumped into angel investing with Aroa Ventures. The investment firm is set up in Singapore and will look at growth-stage businesses in the consumer, technology and leisure infrastructure sectors. He has roped in Gaurav Gulati, who previously was the COO of Innov8 Coworking, which was acquired by OYO. He was the co-founder of Purist too, which was acquired by Cure.Fit.
According to their website, they are looking at startups with year-on-year (YOY) growth of more than 20%, and $1 Mn-$10 Mn in annual revenue. The company is willing to invest between US $500K and $5 million. Apart from the capital, the company will work alongside portfolio companies to accelerate their growth and to deliver better risk-adjusted returns.
“We are partial to businesses that have the ability to create disproportionate value through adjacencies. We invest between USD $500K and $5M,” as quoted on their website.
According to Entrackr, the company was registered last year with Agarwal and Thomas Hufnagel as the two shareholders in the company. Later in November last year, Agarwal took over complete ownership of RA Holdings Pte, and Hufnagel who is a partner at the law firm who handled the registration transferred his holdings to the former. RACo holding company, controlled by Ritesh Agarwal, will completely control Aroa Ventures.
In 2019, the Oyo Group CEO had floated RA Hospitality, a Cayman Islands-domiciled entity, through which he has undertaken a $2.2 billion debt-financing round to buy back shares from existing investors, as well as infuse fresh capital into the hospitality chain.
Agarwal has joined other prominent angel investors from India, such as Rohit Bansal and Kunal Bahl of Snapdeal, who had launched Titan Capital and Vijay Shekhar Sharma of Paytm, who has set up two new entities, VSS Investco and VSS Holdings. Additionally, Freecharge co-founders, Sandeep Tandon and Kunal Shah, have setup Whiteboard capital, whose portfolio includes Wysh, Fashalot and Ziploan, among others