PE firm TR Capital to invest $1 billion in India secondaries over the next five years

Asia-focused private equity firm TR Capital has said it plans to invest $1 billion in India’s secondary market over the next five years.

The firm, which has operated in India for nearly two decades, said the commitment reflects both its long-standing presence and a rising opportunity in secondary transactions — where existing investors sell stakes rather than funding new capital raises.

“India has been a core market for us over the last 17 years,” said managing partner Frederic Azemard. “We are excited to see the opportunity to invest $1 billion in secondaries over the next five years in India.”

The investment is expected to average around $200 million annually, with a focus spanning consumer, financial services, healthcare and selected opportunities in software and artificial intelligence.

As part of its expansion, TR Capital has appointed Umang Agarwal as managing director and India co-head. Agarwal previously worked at Eight Roads India, where he led investments across enterprise software, fintech and consumer sectors.

“TR Capital will increase its role in contributing to India’s economy by working closely with founders, venture capitalists and private equity funds managing complex liquidity needs,” Agarwal said.

The firm has also strengthened its local presence with new senior hires, including Kushal Agarwal and Sagar Sheth, and opened a new office in Bengaluru. The city, often referred to as India’s Silicon Valley, hosts a large concentration of startups and technology companies.

“With the Indian PE market maturing, we continue to raise our game and the calibre of our investment team,” Azemard said. “The new office in Bengaluru will enable us to align our presence with growing opportunity.”

Founded in 2007, TR Capital focuses on providing liquidity through secondary deals. It has backed companies such as Flipkart, Lenskart, Fibe, MoEngage, Shadowfax and Whatfix.

In June 2025, the firm acquired stakes in MoEngage, Shadowfax and Whatfix for about $50 million, underlining its active deal-making strategy in the region.

Secondary transactions are gaining traction in India as startup exit timelines lengthen and public listings slow. Investors are increasingly turning to such deals to return capital to stakeholders, particularly as profitability and valuation discipline take precedence in public markets.

“Secondaries are emerging as a credible exit option alongside IPOs and mergers and acquisitions,” Azemard said, noting that the model is already well established in Europe and the United States but is now accelerating in Asia.

The firm said it is currently evaluating several large transactions in India, including portfolio deals involving multiple assets, with some expected to close in the coming quarters.

Industry experts say the rise of secondary-focused funds reflects a broader shift in India’s venture ecosystem. Firms such as White Whale Venture, PixelSky Capital and Neo Group have also launched dedicated vehicles to facilitate exits.

As the market matures, secondary deals are moving from a marginal role to accounting for a growing share of overall exit value, particularly as investors seek liquidity without relying solely on volatile public markets.

Azemard added that improving distributions to investors remains a key priority. “Funds in years four or five are looking to demonstrate performance and return capital as they prepare for their next fundraise,” he said.

TR Capital said it expects secondary deal activity in India to increase as valuations stabilise after a period of correction.