The Sequoia fund has earmarked $2 billion for Indian startups and $850 million to a Southeast Asian fund.

Sequoia (India & Southeast Asia) announced today the raise of $2.85 billion comprising $850 million for the firm’s first dedicated fund for the SEA region, and the rest for Indian venture and growth funds. The VC firm launched in India back in 2006 and has invested $6 billion in more than 400 firms across India and SEA. (Economic Times)

“This fundraise, which comes at a time when markets are starting to cool after a very long bull run, signals our deep commitment to the region and the faith our Limited Partners have in the long-term growth story of India and Southeast Asia,” Sequoia said in a blog post.

Indian startups raised $36 billion cumulatively in 2021, a record year for funding. Last year India emerged as the third-largest startup hub in the world, after the US and China.

Southeast Asia, meanwhile, is on track to become a USD 1 trillion digital economy by 2030, according to Sequoia.

“We are at an exciting juncture in India and Southeast Asia, with ever-deepening markets, higher consumption power, supportive regulations and high talent density,” the firm wrote.

“Many large companies with regional or global footprints will emerge from this region in the decade to come.”

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