Accel begins work on raising 9th fund to back Indian startups

MC EXCLUSIVE Accel begins work on raising 9th fund to back Indian startups

Accel, one of the world's most prolific venture capital firms, has initiated the process of raising its ninth India-focused fund (Fund IX) to back startups across the country, people familiar with the developments told Moneycontrol.

“The partners have begun roadshows and LP meetings in the US and other regions,” one of the persons cited above told Moneycontrol.

Limited Partners (LPs) are the institutions and individuals that provide capital to venture capital and private equity funds.

A second person confirmed the developments and said: “While discussions are still in the early stages, Accel is likely to raise $650-700 million, largely unchanged from last time, for its ninth India fund. It is looking to close in early 2027.”

Accel did not respond to Moneycontrol’s queries.

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.

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 – placing it among the firm's most successful bets alongside Flipkart.

Also Read | Accel closes eighth India fund with $650-million capital pool

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 monetised its holdings in these companies, generating at least Rs 600 crore (around $65 million) through stake sales, as reported by Moneycontrol.

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.

Also Read | Rapido raises $240 million in fresh funding led by Prosus at $3 billion valuation

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