Accel Starts Preparations for Ninth Fund to Support Indian Startups

Accel Initiates Process to Raise Ninth India-Focused Fund

Accel, one of the world's most prolific venture capital firms, has begun the process of raising its ninth India-focused fund (Fund IX) to back startups across the country. According to people familiar with the developments, the firm's partners have initiated roadshows and Limited Partner (LP) meetings in the US and other regions.

Accel is likely to raise $650-700 million for its ninth India fund, a figure largely unchanged from its previous fundraise. The firm is looking to close the fund in early 2027. Limited Partners are institutions and individuals that provide capital to venture capital and private equity funds.

The developments around Fund IX come shortly after Accel raised a $650 million eighth India fund in January 2025 to invest across consumer technology, fintech, AI, deeptech, and other emerging sectors. Venture capital firms typically return to the market every two to four years to raise a new fund, depending on factors such as portfolio performance, deployment pace, liquidity generated from exits, and the broader fundraising environment.

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Accel's eighth fund (Fund VIII) was raised on the back of successful public listings by portfolio companies Swiggy and Zinka Logistics (BlackBuck), both of which generated significant liquidity and returns for the firm. Accel invested roughly $20 million in Swiggy between 2015 and 2017, and by the time the food delivery company went public in 2024, the investment had delivered an estimated 26x-35x return, generating more than $500 million in value and returning over 1.5 times the size of Accel's entire Fund IV.

The Bengaluru-based venture capital firm appears to be following a similar playbook. It is now preparing to raise its ninth fund (Fund IX) after another wave of portfolio companies, Urban Company, BlueStone, and Amagi, made their public market debuts following its previous fundraise in January 2025. Accel has already partially monetized its holdings in these companies, generating at least Rs 600 crore (around $65 million) through stake sales.

The firm continues to retain a significant ownership position and stands to benefit further if the stocks continue to appreciate. Since raising Fund VIII, Accel has made several notable investments, including a significant bet on Rapido, while continuing to deploy capital across a broad portfolio of startups as it looks to identify category leaders.

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