According to reports from Mint, Avataar Venture Partners is anticipating significant liquidity events from both its first and second funds within the next 18-20 months. Mohan Kumar, founding managing partner, stated that the firm expects at least three liquidity events from its first fund and two from its $350 million second fund within this timeframe. Kumar indicated that these IPOs could return at least half the fund and a little bit more, with the firm expecting couple of mature companies to list in 2027 or early 2028, resulting in three public companies by 2028.
As reported by Mint, Avataar has already secured at least two partial exits from its first fund via the public markets. Capillary Technologies, a loyalty SaaS provider, listed in November 2025, while cloud streaming platform Amagi launched its IPO in January 2026. The firm continues to hold a stake in Capillary because it also invested in the company through Fund II, which is nearly completely deployed. One of its portfolio companies, Insurance Dekho, is considering going public with a $250 million raise through a mix of new shares and secondary sales, according to Bloomberg reports in February.
According to Mint, Avataar is pivoting toward deeptech and AI for its $400 million third fund, even as it targets a string of public listings to return capital from its first vehicle. The firm expects its deeptech investments, including quantum computing startup QpiAI, physical AI platform Infinite Uptime, and predictive fleet management firm Intangles, to drive significant returns as they mature over the next few years. Kumar stated that at least a couple of them are expected to be fund returners, though this will be a little later in the timeline.
As reported by Mint, Avataar is maintaining its investment philosophy for the third fund, planning to lead funding rounds with cheques of $20-50 million for stakes ranging from 10-25%. The firm plans to invest in 15-20 startups with the third fund. While Avataar is looking at a 2027-28 window for its listings, the immediate IPO horizon appears challenging, with 2026 IPO returns averaging a 0.3% premium across 45 issues, according to PRIME Database data as of March 12.
