Motilal Oswal Alternates closes fifth private equity fund at Rs 8,500 crore

Motilal Oswal Alternates said it has raised ₹8,500 crore for its fifth private equity fund, India Business Excellence Fund V (IBEF V/Fund V). This is the largest private equity fund in the company’s history.

“The fund witnessed strong participation from both global and domestic investors, significantly surpassing its initial fundraising target of Rs 6,500 crore and completing the process in under ten months from the fund launch in mid-April 2025. The successful close reinforces Motilal Oswal Alternates’ continued focus on backing high-growth, mid- to late-stage businesses and partnering with visionary entrepreneurs building enduring, category-defining companies,” the firm said.

Read also- HomeRun raises $6.6 million led by Sorin Investments

The fund received investment commitments from both global and Indian investors. These include capital markets firm Adams Street Partners, asset management company Schroders, a fund managed by investment bank Neuberger Berman, International Finance Corporation, Oman Investment Authority, and private equity firm Axiom Asia.

It also received money from Japanese institutions, Indian banks, insurance companies, and family offices.

The Motilal Oswal Group, which sponsors the fund, along with its alternates team, invested about 10% of the total fund amount.

“Despite an environment marked by economic uncertainty and geopolitical volatility, the successful outcome of this fundraise reflects the deep trust placed in us by leading global asset managers and domestic investors. This confidence has been built through sustained engagement, disciplined investment processes, consistent outcomes across prior fund vintages, and steady capital distributions,” said Rohit Mantri, managing director and co-head, Motilal Oswal Alternates (PE).

The fund will invest between $40 million and $100 million in mid- to late-stage companies in sectors like consumer, financial services, niche manufacturing, healthcare, and technology. Around 20% of the fund has already been invested in three companies.

Advertisment

Its recent investments include carbonated drink brand Lahori Zeera, medical devices company Sensacore, and Vistaar Finance, a non-banking finance company focused on secured lending.

Founded by Vishal Tulsyan and the Motilal Oswal Group, Motilal Oswal Alternates manages about $3.3 billion across private equity, real estate, and private credit.

So far, its private equity fund has made 51 investments and exited 24 of them. It has generated around $1 billion in returns, with investors earning about four times their invested money, according to the firm.

Want to go deeper into the world of startups and entrepreneurship? Check out these categories on VIESTORIES:

Latest Business and Startup News: Discover Funding Trends and Stories Shaping Indian Startups.

Startup Funding News: Your Gateway to Every Funding Update.

Latest Startup News: Stay updated with the latest startup news and trends. Your go-to source for startup ecosystem updates.

Advertisment

Startup Stories: Discover inspiring tales of startups overcoming challenges, and achieving succes.