OIJIF Raises $100M for Third India Private Equity Fund

Despite ongoing geopolitical tensions affecting global investor sentiment, India continues to attract strong private equity interest. The latest example is the Oman India Joint Investment Fund’s new fundraising milestone, highlighting sustained confidence in India’s mid-market investment opportunities.

Despite geopolitical concerns casting a shadow over international investor sentiment, Oman India Joint investor Fund has acquired a $100 million first close for its third private equity fund and expects to raise up to $300 million.

OIJIF Achieves $100 Million First Close for Third Fund

According to two sources with firsthand knowledge of the situation, Oman India Joint Investment Fund (OIJIF), supported by the State Bank of India and the Oman Investment Authority, has achieved a $100 million first close for its third private equity fund. According to the people, the mid-market private equity firm plans to close between $250 and $300 million over the course of the next year.

The fundraising shows that investors are still interested in India’s mid-market prospects, despite international private equity companies taking a more cautious stance due to stiffer exit requirements and geopolitical issues. In 2025, private equity and venture capital firms funded a record $23.2 billion across 123 funds with an emphasis on India, demonstrating the ongoing demand from investors.

Active Investments and Sector Focus

According to the persons, the company has already started using funds from the new fund, making checks totaling between $15 and $25 million, and is aggressively looking for transactions in the consumer, manufacturing, financial services, and healthcare sectors. Up until the time of publication, emails submitted to OIJIF on Thursday went unanswered.

Since its founding in 2011, the company’s first two funds have invested more than $330 million in 19 different firms. Last year, it received regulatory permission for its third fund. Stanley Lifestyles, Divgi TorqTransfer Systems, Annapurna Finance, Senco Gold, Prince Pipes, Capital Small Finance Bank, and HomeLane are among the companies in OIJIF’s portfolio.

Strategic Support from SBI and Oman

The company has used the networks and strategic support of SBI and the Sultanate of Oman’s sovereign wealth fund to find investments. According to its official website, OIJIF has also established a history of exits, including five initial public offerings (IPOs) from its second fund.

Last year, the company appointed Satish Chavva as its chief executive officer, strengthening its investment team. The latest fundraising effort coincides with a larger upsurge in venture capital and private equity fundraising in India.

New Funds Emerging Across Venture Capital Firms

In recent months, a number of companies have introduced new funds, including Nexus Venture Partners, Fireside Ventures, Kedaara Capital, ChrysCapital, Stellaris Ventures, India Quotient, Sixth Sense, Elevation Capital, Peak XV, Prime Ventures, Accel, A91 Partners, Cornerstone VC, and Bessemer Venture Partners.

Limited partners helped general partners finance a record $23.2 billion over 123 fundraises last year, up from $9.8 billion in 2024, demonstrating their increasing optimism about India on a global scale.

India Records Strong Private Equity Deal Activity

According to an EY report published earlier this week, India attracted $60.7 billion in 2025 across 1,475 private equity and venture capital transactions, representing an 8% year-over-year increase in deal value and a 9% increase in volume.

According to the report, deal counts reached all-time highs as growth-stage and startup investments continued to fuel deal activity.

Geopolitical Tensions Could Affect Dealmaking

Fundraising methods are becoming more selective as investors recalibrate fund sizes and adopt a more measured approach in the face of stiffer exit conditions and valuation corrections, even while dealmaking has showed indications of resurgence.

According to industry leaders, recent conflicts in West Asia, trade battles, and wider geopolitical tensions may likely hinder dealmaking in both public and private markets this year.

Frequently Asked Questions

1) What significant accomplishment did OIJIF make with its third fund?

With a goal of raising up to $300 million, OIJIF achieved a $100 million first close for its third private equity fund.

2) Who supports the Joint Investment Fund of Oman and India?

The State Bank of India and the Oman Investment Authority help the fund by offering networks and strategic assistance for deal sourcing.

3) Which industries does the fund aim to invest in?

With check amounts between $15 and $25 million, OIJIF is concentrating on the consumer, manufacturing, healthcare, and financial services industries.

4) What is the history of the fund?

Since its founding in 2011, OIJIF has made over $330 million in investments in 19 businesses and accomplished numerous exits, including five initial public offerings (IPOs) from its second fund.

5) Despite tensions throughout the world, what is attracting investment interest?

Despite geopolitical worries, India’s mid-market prospects, robust deal activity, and record fundraising in 2025 (more than $23 billion across 123 funds) demonstrate ongoing investor confidence.

Conclusion

With a $100 million first closure, OIJIF’s third fund gets off to a great start, demonstrating investor confidence in India’s mid-market private equity market. With the help of SBI and Oman, the fund intends to use its strong exit history to invest in important industries.

India’s strong deal activity and investor appetite indicate growth prospects for private equity, despite global geopolitical tensions raising concerns.

Disclaimer: This article is for informational and educational purposes only. It should not be considered financial or investment advice. Readers should conduct their own research before making investment decisions.