Bengaluru, June 27 -- Mumbai-based Equirus Capital is looking to back profitable late-stage companies as India's startup funding market enters a more selective phase, with investors prioritizing margins, liquidity and exit visibility over rapid growth.

Equirus' new Rs.1,500 crore private equity fund, launched in October, targets consumer, financial services, industrial manufacturing, and healthcare companies, with a focus on businesses that can provide a liquidity event within three to four years, Srinath Srinivasan, chief investment officer, alternative markets, told Mint.

The fund comprises a Rs.750 crore base corpus and a Rs.750 crore greenshoe option, and is expected to achieve its first close in the next couple of months. The seven...