Peak XV Partners, a major player in the venture capital ecosystem, has confirmed the departure of two managing directors, Shailesh Lakhani and Abheek Anand. Both executives have been instrumental in shaping the firm’s portfolio and scaling investments in key markets across India and Southeast Asia. The exits come as the VC firm recalibrates its strategy, including a reduction in its $2.85 billion fund. These developments mark significant changes in Peak XV’s leadership and operational focus.

Leadership Changes: Lakhani and Anand Step Back

Shailesh Lakhani and Abheek Anand have been pivotal figures at Peak XV Partners, serving 17.5 and 12 years, respectively. Their contributions have driven successful investments and exits across diverse sectors, including technology, consumer goods, and fintech.

Lakhani, based in Bengaluru, led several high-profile investments. One of his standout successes is Peak XV’s early stake in Minimalist, a skincare brand that is now being acquired by Hindustan Unilever Limited (HUL). The investment of Rs. 79 crore yielded Rs. 895 crore, delivering over 10x returns within five years. Other notable wins under Lakhani's leadership include:

Ixigo
Healthkart
Truecaller
Zetwerk and Capillary Technologies (both preparing for IPOs)
Lakhani’s involvement extended to board positions in several companies such as Porter, 1mg, and Vymo. In contrast, Anand focused on growth strategies in Southeast Asia, particularly in software, fintech, and consumer internet startups.

While both directors will no longer hold full-time investing roles, they will maintain board memberships in select portfolio companies.

Lakhani Reflects on His Journey

In a post on social media platform X (formerly Twitter), Lakhani reflected on his tenure at Peak XV Partners, which began in 2007. He acknowledged the immense evolution of India’s startup ecosystem, noting how it has transformed into one of the world's most vibrant innovation hubs.

“I wouldn’t have traded this courtside seat for anything. Professionally, I’ve reached the goals that I once set for myself, leaving me with deep gratitude and a pull toward new challenges,” Lakhani wrote. His next career move remains undisclosed.

Strategic Changes: Fund Size Reduction

In a notable development, Peak XV Partners has decided to reduce the size of its latest $2.85 billion fund by 16 percent, or approximately $465 million. This move reflects a growing trend among venture capital firms to adopt a more disciplined approach to capital allocation amid volatile market conditions. The firm plans to return unallocated capital to its limited partners (LPs).

This recalibration underscores the firm's commitment to deploying resources judiciously while mitigating risks in a rapidly changing investment landscape.

High-Profile Departures at Peak XV Partners

Lakhani and Anand’s departure follows a series of leadership exits over the past year. Key resignations include:

Piyush Gupta, former Managing Director, who left in April 2024 to launch Kenro Capital, a fund focused on secondary market investments.
Anandamoy Roychowdhary, a partner at Peak XV's Surge accelerator program, who exited in November 2023 after 11 years with the firm.
These exits highlight an ongoing reshuffling of senior management as Peak XV adapts to shifting market dynamics.

Key Investments Driving Peak XV’s Growth

Peak XV Partners, formerly part of Sequoia India, has built an extensive portfolio spanning early-stage and growth-stage investments. Some of its most successful bets under Lakhani’s stewardship include:

Minimalist: Acquired by HUL, yielding over 10x returns.
Zetwerk: A leading B2B manufacturing platform with an impending IPO.
Ixigo: A travel-tech firm known for its high user engagement and robust business model.
Healthkart: A dominant player in the health and nutrition e-commerce segment.
These strategic investments have cemented Peak XV’s reputation as a top-tier VC firm in the region.

Focus Areas in Southeast Asia

Anand played a crucial role in expanding Peak XV's footprint across Southeast Asia, targeting high-growth sectors such as:

Software and technology platforms
Fintech innovations
Consumer internet services
His efforts enabled Peak XV to diversify its portfolio and capitalize on emerging opportunities in markets like Singapore, Indonesia, and Vietnam.

Implications for the Startup Ecosystem

The departures of senior leaders like Lakhani and Anand could have broader implications for both Peak XV and the startup ecosystem it supports. Potential impacts include:

Changes in investment priorities: The new leadership team may pursue different strategies in terms of sectors and geographies.
Talent reshuffling: As experienced investors move on to explore new ventures, opportunities may arise for emerging professionals within the VC landscape.
Industry sentiment: Peak XV’s fund reduction reflects caution among investors, signaling a shift toward more sustainable growth in the startup ecosystem.
Despite these challenges, Peak XV remains well-positioned to leverage its extensive portfolio and capitalize on future opportunities.

Future Outlook for Peak XV Partners

Peak XV’s decision to reduce its fund size aligns with global trends in venture capital, where firms are increasingly focused on capital efficiency. By optimizing resource allocation and refining its growth strategy, Peak XV aims to maintain its leadership position in both Indian and Southeast Asian markets.

The firm’s strong pipeline of IPO-bound companies, including Zetwerk and Capillary Technologies, is expected to drive substantial returns in the coming years. Additionally, Peak XV’s continued involvement in emerging sectors such as digital healthcare, fintech, and enterprise software underscores its commitment to long-term growth.