Key Takeaways
- • Three former Peak XV Partners managing directors—Ashish Agrawal, Ishaan Mittal, and Tejeshwi Sharma—have launched Mettle Capital, targeting $350–400 million to back Indian startups with an equal-partnership structure.
- • Mettle Capital will focus on Series A and B deals with selective seed investments, targeting 5–6 investments annually across enterprise AI, deeptech, and consumer internet sectors.
- • The trio's departure from Peak XV followed disagreements over economics in February 2026, marking part of a broader leadership exodus affecting India's top-tier VC firms (five other partner-level exits occurred at Peak XV in the past year).
- • First close is expected in Q2 2026 (current quarter) with deployment beginning September–October, supported by LP conversations underway across the US, Europe, and Asia.
- • The launch reflects accelerating VC market dynamics in India, where successful exits and IPOs are driving senior investors to establish independent firms; competitors Shailesh Lakhani and Harshjit Sethi similarly launched Ambition Capital targeting $250 million.
Summary
Three former Peak XV Partners managing directors have established Mettle Capital as an independently structured venture capital fund targeting $350–400 million to deploy across Indian startups. The founders—Ashish Agrawal, Ishaan Mittal, and Tejeshwi Sharma—adopted an equal-partnership structure for the new firm, marking a departure from traditional VC hierarchies. The trio exited Peak XV in February 2026 following disagreements over compensation and economics, according to Peak XV's managing director Shailendra Singh.
Mettle Capital will concentrate on Series A and Series B stage investments with selective seed-stage bets, projecting 5–6 annual deployment targets. The fund has identified enterprise AI, deeptech, and consumer internet as priority investment sectors. Fundraising momentum is building with limited partner conversations actively underway across North America, Europe, and Asia. The fund expects to achieve first close during Q2 2026 (the current quarter), with capital deployment commencing by September–October 2026.
The launch underscores accelerating churn at India's premier venture capital firms. Peak XV Partners has experienced five additional partner-level departures over the past twelve months, creating a cascading effect of talent migration. Fellow former Peak XV executives Shailesh Lakhani and Harshjit Sethi launched competing vehicle Ambition Capital in March 2026, targeting $250 million for seed and Series A stage investments. Industry observers attribute this wave of independent fund formation to the confluence of successful portfolio exits and IPO activity, which have empowered senior investment professionals to secure LP capital and establish differentiated investment mandates outside traditional institutional structures.
Mettle Capital will concentrate on Series A and Series B stage investments with selective seed-stage bets, projecting 5–6 annual deployment targets. The fund has identified enterprise AI, deeptech, and consumer internet as priority investment sectors. Fundraising momentum is building with limited partner conversations actively underway across North America, Europe, and Asia. The fund expects to achieve first close during Q2 2026 (the current quarter), with capital deployment commencing by September–October 2026.
The launch underscores accelerating churn at India's premier venture capital firms. Peak XV Partners has experienced five additional partner-level departures over the past twelve months, creating a cascading effect of talent migration. Fellow former Peak XV executives Shailesh Lakhani and Harshjit Sethi launched competing vehicle Ambition Capital in March 2026, targeting $250 million for seed and Series A stage investments. Industry observers attribute this wave of independent fund formation to the confluence of successful portfolio exits and IPO activity, which have empowered senior investment professionals to secure LP capital and establish differentiated investment mandates outside traditional institutional structures.
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