The Securities and Exchange Board of India has provided a crucial lifeline to venture capital funds (VCFs) by allowing them to transition from the SEBI (Venture Capital Fund) Regulations 1996 (VCF Regulations) to the SEBI (Alternative Investment Fund) Regulations, 2012 (AIF Regulations).  During its board meeting on April 30, 2024, SEBI approved a proposal to provide an option to VCFs which are nearing the end of their tenure yet unable to fully liquidate their portfolio to migrate into the AIF Regulations.