“Avendus Aims to Raise $300 Million for Upcoming Private Equity Fund as Premier Indian Venture Advisor”

Avendus, India’s leading investment bank for venture deals, is looking to raise about $300 million for its private equity unit, according to three sources familiar with the matter. With its third private equity fund, Avendus plans to write larger checks more frequently, one of the sources said. The firm raised its second fund, amounting to around $185 million, in 2021. Avendus employs over 150 bankers and was the top financial advisor in India last year. In the past decade, similar to financial advisors in other regions, Avendus has diversified its offerings, venturing into wealth management, credit financing, and private equity.

Avendus, India’s premier investment bank for venture deals, is seeking to raise approximately $300 million for its private equity division, as confirmed by three sources familiar with the matter.

This Mumbai-based firm, with the backing of U.S. private equity titan KKR, has made a name for itself as the top financial advisor in India. Avendus has worked with renowned growth-stage startups including Zepto, LensKart, XpressBees, CaratLane, and Atomberg to secure funding for their ventures last year.

According to one of the sources, Avendus plans to write bigger checks more frequently with its third private equity fund. The firm previously raised a fund worth $185 million in 2021, following its inaugural $50 million fund.

The sources, speaking on the condition of anonymity, were unwilling to disclose any further details. An Avendus spokesperson declined to comment on the matter.

Avendus first gained recognition as India’s startup ecosystem began to take shape, taking advantage of the fact that many of its renowned competitors – including Goldman Sachs, Morgan Stanley, and JP Morgan – initially paid little attention to the Indian market. This was partly due to the relatively smaller deal sizes in the early days, typically under $30 million, which were not large enough to generate substantial fees, making it less enticing for prominent names to get involved.

However, as India’s startup scene blossomed over the past decade, becoming the third-largest in the world, it has attracted global giants like SoftBank, Tiger Global, and General Atlantic, as well as sovereign wealth funds like Temasek, GIC, ADIA, Khazanah, PIB, and Mubadala. Together, they have invested billions of dollars into startups of all sizes in India.

Avendus boasts a team of over 150 bankers and was India’s top financial advisor in 2020. It provided a range of services in more than 30 deals, including mergers and acquisitions, according to Venture Intelligence, a private market insight platform.

Like financial advisors in other regions, Avendus has diversified its offerings over the past decade, expanding into wealth management, credit financing, and private equity. Last year, the firm also extended its financial advisory services to the Southeast Asian market.