Peak XV Partners, the largest India-focused venture fund, has realized about $1.2 billion in exits since its separation with Sequoia last year, two sources familiar with the matter told TechCrunch.
The investor has sold stakes in nearly a dozen portfolio companies that went public in the past year, including food delivery group Zomato, cosmetics retailer Mamaearth, and spam protection firm Truecaller.
It has also sold holdings in some private startups, including K12 Techno, Pocket Aces and PingSafe, through secondary transactions and M&A. The firm’s current funds total $2.85 billion.
Peak XV declined to comment.
The flurry of exits comes as India’s stock market reaches record highs, with the country’s equities trading at a significant premium to other emerging markets. Macquarie analysts wrote in a recent note that India’s price-to-earnings ratio stands at about 21 times, compared with 10 times for emerging markets overall, 14.5 times for global markets, 17 times for the U.S., and 8 times for China.
The IPO window has also cracked open in the country, even though the market for new debuts remains subdued in the U.S. and much of the world. Indian firms have raised about $9 billion via IPOs this year, and more are expected to list before the year ends, Bank of America analysts estimate.
A $500 million block trade in Five-Star Business Finance, a Peak XV portfolio company, that started on Thursday was more than half-way done by 11.30 a.m. India standard time.
Peak XV’s dominance in the region has drawn intense interest and scrutiny, owing to its scale and aggressive investment approach. The firm’s Surge program, which offers favorable terms and extensive resources to early-stage startups, has become a coveted launchpad for young startups in India and Southeast Asia, somewhat eclipsing the appeal of Y Combinator’s offering.
Earlier this year, Peak XV informed its limited partners that it was launching a perpetual fund backed by its own partners, signaling a high degree of confidence in its long-term strategy and the region’s potential.
The firm’s journey, which began over a decade ago under the Sequoia banner, has culminated in a staggering $9 billion of assets under management, and it has an additional $2 billion that’s yet to be deployed. Its portfolio spans over 400 companies, of which more than 50 are unicorns, and about 40 have reached annual revenues exceeding $100 million.
Peak XV has also facilitated more IPOs than any other India-focused venture fund. Since 2020 alone, 15 of its portfolio companies have successfully gone public.
Sequoia last year split its China and India-Southeast Asia funds amid geopolitical tensions between the U.S. and China. The firms said they had agreed to separate to avoid “growing market confusion” and “portfolio conflicts across entities.”
The move sent shockwaves through the industry. Peak XV has since broadened its focus to markets beyond India and Southeast Asia, and has also expanded its team to the U.S.
In June this year, venture firm Matrix said that it would also rebrand its India and China affiliates.