Delhi based impact venture capital investor Lok Capital, which manages $85 million across two India focused funds, booked a partial exit from portfolio company RuralShores on Tuesday earning a 6X return on its original investment. The exit is a milestone for the firm — its first non microfinance exit — and validates its 2012 shift in strategy to diversify away from the then troubled microfinance sector (read more about why it decided to change lanes).
Bangalore based RuralShores falls within what Lok Capital terms its ‘livelihoods improvement/ generation’ investment thesis. We spoke to Lok Capital managing partner Venky Natarajan on the exit. Edited excerpts: