In recent decades, the compactness of the electronic component continues to increase, the heat generation rates also keep on increasing exponentially. Thermal management plays a critical and essential role in maintaining high efficiency and reliability of electronic components. Several cooling technologies are available, among them heat pipe technology is a very promising thermal management solution in high heat flux applications. Heat pipe technology utilises phase change by latent heat of vaporisation and latent heat of condensation. The two-phase closed thermosyphon (TPCT) is a gravity-assisted wickless heat pipe. Due to high efficiency, reliability, simple structure, and cost effectiveness thermosyphons are being used in many applications. In this present work, the geometrical model of twophase closed thermosyphon with internal fins attached to the condenser section is created using CATIA V5R20 software. The model is simulated using ANSYS FLUENT 15.0 commercial software and the interaction between two phases is modelled using Volume of Fluid (VOF) technique. Further optimization is done to improve heat transfer rate using different types of nanofluids, different aspect ratios, and geometries of internal fins. Heat transfer characteristics like temperature distribution and heat transfer rate are studied and compared for all cases. Simple Thermosyphon with fins and without fins was compared using Silicon Dioxide nanofluid as a working fluid. Among three nanofluids used in this work, silicon dioxide (SiO ) shows higher heat transfer rate in Thermosyphon with spiral fins.