This new fund comes after the company’s seventh India fund. As the first institutional investor in its portfolio firms, Accel has become India’s most successful venture firm. It has funded companies such as software company Freshworks, food delivery platform Swiggy, and e-commerce group Flipkart.
At a $4 million post-money valuation, the business issued Flipkart’s first institutional check. Since then, the investment has grown in value, and Flipkart is currently valued at over $36 billion. At a $2 million pre-money valuation, Swiggy’s seed round was led by partner Anand Daniel. In November, Swiggy went public at a valuation of $11.3 billion, making it the biggest global technology IPO of 2024.
By 2022, the firm’s top-performing startups had collectively exceeded $100 billion in valuation.
Since Accel’s initial entry more than ten years ago, the dynamics of Indian startups have undergone significant transformation. One significant change that has addressed earlier critiques is the rise of public listings. This year, more than six Indian businesses financed by Accel, such as jewelry maker Bluestone and manufacturing platform Zetwerk, are scheduled to go public.
Daniel told
“India is fast becoming a promising hub for tech IPOs driven by its strong capital markets and a thriving innovation ecosystem that continues to attract substantial investor interest,”.
While competitors Sequoia and Matrix have severed their connections with their respective India funds in recent years, Accel is still one of the few Silicon Valley investors that hasn’t split its Indian unit.
In defiance of the belief that companies catering to wealthy customers in smaller cities and towns may succeed over the long term, the company has recently increased its attention on rural India.
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