MUMBAI, July 29 Reuters India39;s Lighthouse Funds is in talks to raise 400 million for a new fund, a senior executive told Reuters, in what will be the biggest fundraising by the private equity firm that is targeting fastgrowing consumer brands in the country.

Lighthouse has raised more than 450 million over the years and has invested in Indian companies that include popular online beauty retailer Nykaa and ethnic apparel and home accessories brand Fabindia.

Lighthouse is in talks with potential investors to raise its fourth fund, a partner at the private equity fund, Mukund Krishnaswami, told Reuters in an email.

The latest fund will be Lighthouse39;s largest so far, after its first 100 million fundraising in 2009, followed by 135 million and 230 million in two funds in 2015 and 2019, respectively.

We are seeing good interest, and are hopeful that the strength of the portfolio and performance of Funds II and III are good tailwinds for these discussions, Krishnaswami said, declining to name the investors the fund was in talks with.

A person directly involved in the discussions said the new Lighthouse fund is expected to close later this year.

Some existing investors will increase their exposure in the upcoming fund, while Lighthouse will also tap new investors, added the source, who declined to be named due to the private nature of discussions.

Lighthouse39;s existing investors include the World Bank39;s International Finance Corp and the UK government39;s…