Trident Growth Partners (TGP), Indian private equity firm focused on growth-stage investments, has announced the first close of its inaugural fund at over 1,000 crore rupee (US$ 117.4 million).

The firm – established by former Premji Invest partners Atul Gupta and Rajesh Ramaiah and Pravan Malhotra, who was with IFC – aims for a final close of 2,000 crore rupee (US$234.8 million) by the end of 2025.

TGP plans to invest in 10 to 12 companies over the next four years, targeting series B and late-stage startups.

The firm intends to make investments between 150 crore rupee (US$17.61 million) and 200 crore rupee (US$23.48 million) while reserving funds for follow-on rounds in later years.

🔗 Source: Inc42

🧠 Food for thought

1️⃣ India’s PE landscape maturing with larger growth-stage funds

Trident Growth Partners’ launch highlights the ongoing maturation of India’s private equity market, which has evolved significantly in recent years.

Indian PE investment volume grew from relatively modest levels to reach $26.4 billion in 2017 and $26.3 billion in 2018, demonstrating sustained investor confidence in the market 12.

While overall deal volume has fluctuated, average deal sizes have consistently increased, which aligns with TGP’s focus on INR 150-200 Cr (approximately $18-24 million) ticket sizes.

This trend of larger, more focused funds represents a significant shift from earlier phases of India’s PE development, which were characterized by smaller funds making more numerous but lower-value investments 3.

The concentration on growth and late-stage investments also reflects investors’ increasing comfort with the Indian market, as they’re willing to deploy larger amounts of capital with longer investment horizons.

2️⃣ Sector-agnostic approach serves as hedge against India’s developing market depth

Trident’s explicitly sector-agnostic strategy reflects a calculated approach to India’s market structure that aligns with broader industry trends.

TGP’s assertion that “India is a mile wide and an inch deep” echoes findings that the Indian market lacks the sector-specific depth seen in more mature economies, making specialization potentially riskier 4.

A 2017 analysis found that most private equity firms in India operate as sector-agnostic investors, suggesting this approach has proven effective in the Indian context 4.