Secondary funds are becoming increasingly popular as venture capital investors look for more ways to exit their investments.

A fund manager told Moneycontrol that most secondary market players are no longer just targeting distressed sales. Instead, they are now seeking strong businesses with distressed investors. Shares of major companies like Innovaccer, BharatPe, ShareChat, Cultfit, Swiggy, and Meesho are actively being traded in various secondary market transactions, according to sources.

Tech IPOs have been gaining momentum on Dalal Street, with at least six successful listings between May and August, reflecting market confidence and growing investor interest in tech-driven companies. Additionally, the private market in India is bustling, with many VC professionals leaving to establish secondary funds as investors seek more avenues for exiting startups.