Peak XV to launch Peak XV Anchor Fund

Peak XV, formerly known as Sequoia Capital India, is gearing up to launch the Peak XV Anchor Fund, a permanent capital vehicle, according to sources.

The firm intends to "leverage its internal balance sheet to invest in its main funds and collaborate with fund managers across regions”. The size of the fund was not disclosed.

This information was shared with over 100 global investors during a two-day meeting, marking "the largest gathering of Limited Partners in the region," CNBC-TV18 has learned.

Peak XV did not provide a comment in response to inquiries.

While the firm refrained from disclosing the fund's size, sources indicate it will "start small and compound over time."

Crafted as a permanent capital vehicle with evergreen perpetual fund characteristics, the Peak XV Anchor Fund signifies a pioneering venture for the firm. Such vehicles are typically associated with private equity rather than venture capital. Notably, this initiative is not expected to impact Limited Partners, and there will be no changes in their investment approach in the main funds, sources confirmed to CNBC-TV18.

The decision to institutionalise contributions from Peak XV partners and leaders is aimed at fostering heightened accountability and alignment with Limited Partners to strengthen investor relationships. It will enable Peak XV to "create a global network for learning and collaboration," a source told CNBC-TV18.

Additionally, the Anchor Fund seeks to support new businesses and strategies. The firm did not share details on the new business areas it will seek to invest in with this fund.

The launch of the Peak XV Anchor Fund marks the latest major investment by the investor group in India and Southeast Asia, where it manages assets exceeding $9 billion. With a fund size of $2.85 billion and $2.5 billion available for the region post-separation from Sequoia, the fund underscores the firm's significant presence and commitment to the region.