Mirae Asset to lead Krafton, Naver’s ₹6,000 cr bet on India’s early-growth-stage tech startups

“Krafton has been in India for a long time and it's a key strategic growth area for them,” Puneet Kumar, chief executive officer at MAVI India, said in an interview with Mint. “We felt that now is the time to double down on the Indian ecosystem. That's what has happened for both Krafton and Naver, over the years.”

The commitments are part of a trend of institutional investors from the east looking to deploy capital in India after Southeast Asia failed to produce large-scale outcomes. Last year, Japanese venture capital firms started setting up India-focused vehicles as they increased their exposure to the country.

While there's no set target on the amount that will be invested through the new fund, it will write out cheques of $10 million-35 million to companies looking to raise Series B and C rounds. It will pick up stakes as low as 5% and as high as 20%, with a preference for primary infusion of capital.

“We're looking to invest in companies with product market fit and are becoming winners so that we can back them in their journey to becoming large companies and category leaders in their segment,” Kumar said.

The firm will look to invest in companies that are more vertical in their approach and can be actively scaled up in the Indian market before taking the business to adjacent markets.

India's spending habits have undergone a structural shift as the country's digital infrastructure gets better, with an increasing percentage of the population making online payments. Consumer behaviour, especially in India's tier-2+ markets, has moved from being necessity-focused to aspirational, leading to companies to create new business models to cater to an untapped but large market.

It's a wave that both Korean investors want to ride for large potential outcomes, according to Kumar.

“The technology-led new-age brands are being created as we speak, and I think this is going to be a theme that will be very prolific in the future as well,” he said.

In his previous role as managing director at Steadview Capital, the MAVI India CEO had invested in some of India's largest consumer companies including food delivery company Zomato and IPO-bound consumer technology startup Atomberg.

While India's AI ecosystem continues to trail global leaders China and the US, MAVI India remains bullish, with Kumar describing it as “early.” AI-led services businesses are where the firm's interests lie. Venture capital firms like Lightspeed Venture Partners and Bessemer Venture Partners were early to this theme and have already made investments in the sector.

“Fundamentally, the world will adopt AI, but not on its own,” he said. “People will need help to adopt AI, and a number of companies will get to it from India at least.”

Deeptech investments are increasingly becoming a priority for Krafton, which is bullish on robotics and physical intelligence, both areas seeing spurts of investments in the country.

Some deeptech companies in India have already seen success: SEDEMAC Mechatronics Ltd listed on 11 March, while aerospace components manufacturer Aequs Ltd listed on 10 December.

“Not every deeptech investment is high risk,” he said.

Space tech in particular has seen some maturity, with launches expected from both Agnikul Cosmos and Skyroot Aerospace this year. With this maturity, investors are now looking at all aspects of the value chain in space tech and not just launch vehicles.

The announcement of the Unicorn Growth Fund underscores Krafton’s widening ambitions in India, where it is best known as the maker of Battlegrounds Mobile India. Over the past few years, the company has expanded its investment activity in gaming, content and fintech startups, using India as a large market and a base for digital businesses with export potential.

Krafton’s bets in India have included Nodwin Gaming, Loco, Pratilipi and Kuku FM, spanning gaming, live streaming and content platforms. In February 2025, it led a $53 million funding round in Cashfree Payments, signalling a wider interest in India’s fintech and software infrastructure opportunity.

Late last year, reports said Krafton’s cumulative India investments had crossed $200 million, and that the company planned to scale its exposure further through the new vehicle with Naver and Mirae Asset.