US-based venture capital firm Accel has raised a $550 million early-stage fund for India as part of a $3.5 billion fundraise across four new funds globally.
This is the first time Accel has raised all its global funds together. The new India fund is Accel’s ninth early-stage fund for the country. Accel has raised $1.2 billion for India over the past 18 months.
This follows Accel’s $650 million early-stage fund for India and Southeast Asia announced in January 2025. The fund targets pre-seed to Series A startups across sectors such as AI, consumer, fintech and manufacturing.
More than 50% of Accel’s eighth India fund is yet to be deployed, according to sources. The latest fund was also significantly oversubscribed, sources said. Accel does not expect to start deploying the new $550 million fund this year.
According to sources, Accel has about $900 million in dry powder to deploy in India.
Entrackr has reached out to Accel for a comment.
The global fundraise includes a $1.35 billion growth fund that can back companies across geographies and stages. Accel recently used its previous growth vehicle to participate in the Series B round of fintech startup Sahi.
In India, the firm will focus on AI across platforms, vertical applications, infrastructure and businesses that combine AI with human involvement. It will also continue to invest in consumer, manufacturing and fintech. Advanced manufacturing and deeptech are emerging areas of focus.
Accel said it writes the first institutional cheque in around 80% of the companies it backs. Its Indian portfolio includes Flipkart, Swiggy, Myntra, Freshworks, BlueStone, Urban Company, Zetwerk and Infra.Market.
The firm added that the latest fund will back early-stage companies that target the Indian market as well as startups that target global customers from the outset.
This is the second large India-focused fund raised within a month. Last month, venture capital firm Elevation Capital closed its ninth India-focused fund at $500 million to back early-stage startups, with a focus on AI-led products and applications.
-Entrackr