New fund · Professional & Local Services

Avendus fund nears final close, invests in PPFAS

By Startup Enthusiast · 14 July 2026

What they do

The fund expects final close at ₹1,800 Cr by end of July after first close at ₹850 Cr

It deployed about 30% of capital and invested ₹140 Cr in PPFAS via secondary transaction

The fund backs companies two to three years from liquidity events across sectors

Avendus Future Leaders Fund III (FLF III) is expected to reach a final close at ₹1,800 Cr by the end of July.
The fund's target corpus is ₹1,500 Cr, with a greenshoe option (an option to raise additional capital) of equal amount, making a total target of ₹3,000 Cr.
FLF III had its first close at ₹850 Cr in January last year.
So far, the fund has deployed about 30% of its capital.
The fund plans to back five to six more companies over the next year.
FLF III invested about ₹140 Cr in PPFAS through a secondary transaction (existing shareholders sell their shares; no new money reaches the company).
The fund acquired promoter shares from Neil Parag Parikh, chairman and CEO of PPFAS, and Khushboo Joshi, president of wealth management.
Earlier, FLF III invested in La Renon Healthcare, Aragen Life Sciences, and IL JIN Electronics.

The fund's final close comes as more Indian startups prepare for public listings, driving investor interest in late-stage companies.
The secondary investment in PPFAS reflects a trend of investors buying stakes from existing shareholders rather than providing fresh capital.
The fund's deployment of only 30% suggests ample dry powder for future deals.
The simultaneous launch of Elevation Capital's Fund IX with a $500 Mn target highlights a competitive late-stage funding landscape.

PPFAS was founded in 1992 and operates across mutual funds, wealth management, GIFT City funds, private equity, and NPS (National Pension System, a retirement savings scheme).
PPFAS's assets under management (AUM, the total market value of investments managed) grew at a compound annual growth rate (CAGR, the average yearly growth rate over a period) of around 70% over the past five years.
PPFAS aims to build a full-service asset management platform and expand its financial services capabilities.
The Avendus Future Leaders Fund platform manages more than ₹4,000 Cr in assets.
The platform's portfolio includes Lenskart Solutions, Sagility, SBI General Insurance, Licious, Juspay, Zeta, Veritas Finance, and Avanse Financial Services.
The fund typically backs companies two to three years away from a liquidity event (an event like an IPO or acquisition that allows investors to cash out) across financial services, consumption, technology, healthcare, and manufacturing.

FLF III plans to back five to six more companies over the next year.
PPFAS aims to build a full-service asset management platform and expand its financial services capabilities.

Avendus Future Leaders Fund III (buyer) — Late-stage private equity fund managed by Avendus, focusing on companies near liquidity events.