HDFC Capital, the private equity arm of mortgage lender HDFC, has launched a tech innovation challenge in the affordable housing space and will invest up to Rs 500 crore in three winning ideas.
The third edition of the tech challenge will identify and award disruptive innovations in areas of construction, sales, fintech, and sustainability, the company said.
The challenge is jointly being launched by HDFC Capital Advisors, the HDFC subsidiary that manages private equity funds focused on real estate sector and has a USD 3 billion real estate funding platform, along with the government-promoted Invest India.
We have already raised over Rs 500 crore from global investors as the first close of this property technology fund, which will focus on investments in startups that drive innovation and efficiencies within the affordable housing ecosystem. We are ready to invest this money into three winning solutions, Vipul Roongta, MD and CEO at HDFC Capital told PTI.
Roongta added that the objective is not only to provide funding but act as a melting pot for academia, industry and innovators while providing access to key decision makers in business. Shortlisted companies will get a platform to showcase their innovative solutions in the affordable housing ecosystem to the stakeholders.
In addition, HDFC Capital has committed to investing in a minimum of three of the most innovative companies/solutions coming out from the competition, he said, adding in the previous two editions the company has invested in one company each. Shortlisted companies will get a platform to showcase their innovative solutions in the affordable housing ecosystem to the stakeholders.
The winning participants will get multiple funding options, access to markets and decision-makers for end-users apart from bringing together relevant decision-makers and innovative solution providers.
The 2022 edition is being powered by Anarock and supported by leading ecosystem stakeholders such as Pi Labs, Sequioa, Matrix Partners, Accel, 3One4 Capital, Blume Ventures, Alteria Capital, YourNest, GruhasPropTech, Edhina, Saint Gobain, CIIE@IIM Ahmedabad, IIT Kanpur along with IVCA and TiE Delhi NCR.
Renu Sud Karnad, managing director of HDFC, said the construction industry is one of the least digitalised sectors, so adoption of new technologies within the real estate sector will play a vital role in the creation of efficiencies and promoting sustainability within the real estate development cycle.
The 2022 edition will support innovative businesses building clean, technology solutions for the real estate sector thereby contributing to the enhancement of affordable housing, she said.Deepak Bagla, managing director of Invest India said through this programme, "we are aiming for increased cooperation between different stakeholders to provide the right market opportunities to startups in the proptech sector."