Peak XV Partners sells about 1% stake in Freshworks for $51.5M

Venture capital firm Peak XV Partners has sold about 1% stake in software-as-a-service (SaaS) firm Freshworks, according to a US Securities and Exchange filing.

Following the sale, the firm now holds a 3.9% stake in the company.

The filing, published on January 29, 2025, shows that the stake sale happened in multiple open market transactions between December 9 and January 28.

Peak XV Partners (formerly Sequoia Capital India and SEA) sold 2.93 million shares, with prices ranging between $17 and $19.10, bringing the total transaction value to $51.5 million.

In December, Freshworks Founder and Executive Chairman Girish Mathrubootham sold his shares worth approximately $39 million. Mathrubootham sold a combined total of over 2.5 million shares of Class A common stock through multiple transactions at weighted average prices ranging between $15.33 and $16.50 per share on December 18 and 19.

Peak XV first invested in the cloud-based customer engagement software firm in 2016. Between 2016 and 2019, it reportedly invested around $80 million in the company, according to The Economic Times.

The stake sale comes months after Peak XV cut the size of its largest fund by 16% as growth-stage funding to the startup ecosystem slowed down over the past two years.

YourStory had previously reported that the firm, which raised $2.85 billion for its eighth fund in May 2022, will return about $465 million to its limited partners (LPs).

PeakXV most recently sold a 1.5% stake in fintech company MobiKwik for Rs 82 crore.

Additionally, it is reportedly set to bag an Rs 810 crore exit from skincare brand Minimalist’s sale to FMCG giant Hindustan Unilever.

Meanwhile, the Dennis Woodside-led firm is all set to report its October-December 2024 results tomorrow. Shares of the company were last trading at $18.33 apiece on Nasdaq, up 2.5% as of 09:13 PM IST.