IIT Madras and Unicorn India Ventures Reach ₹450 Crore First Close for Deep-Tech Fund
IIT Madras, the IIT Madras Research Park, and Unicorn India Ventures announced the first close of their Rs 1,000 crore deep-tech fund at Rs 450 crore. The milestone arrived three months after receiving approval from the Securities and Exchange Board of India (Sebi), with a final close targeted for December 2026.
Reaching the First Close in Record Time
The formal announcement took place in the presence of Finance Minister Nirmala Sitharaman. Kamakoti Veezhinathan, director, IIT Madras, noted that the institution has built an ecosystem capable of nurturing deep-tech companies that consistently demonstrate high technology readiness levels (TRLs).
“And with a joint fund with best in class deep tech investors Unicorn India, we are now confident that these companies will not only get access to patient capital but also strategic growth guidance as well,” said Kamakoti Veezhinathan.
The fund managed to secure its first close in a record three months. Alongside this financial milestone, the vehicle announced the deployment of nearly Rs 55 crore across four distinct deep-tech startups.
Targeted Investments Across Six Strategic Verticals
The newly capitalized fund focuses on six core verticals where India has a structural “right to win” globally. These areas include defense technology centered on import substitution, space technology emphasizing space-qualified hardware produced at a fraction of global costs, and semiconductors focusing on fabless design and intellectual property ownership.
Additional focus areas encompass manufacturing technology, robotics, automation, AI infrastructure, generative AI with an emphasis on sovereign enterprise AI, and health technology designed to serve populations at the bottom of the pyramid. Every prospective investment undergoes rigorous screening for global export potential, strategic import substitution, and sovereign technological advantage.
The initial four startups receiving capital deployments include Hathor, a Chennai-based spacetech enterprise building specialized semi-cryogenic and cryogenic rocket engines for small- and medium-satellite launch vehicle companies. Delhi-based Quanstra is developing single-photon detection systems and advanced quantum instrumentation for research and emerging industrial applications. Triolt Energy is focused on high-performance lithium-ion battery cells optimized for drones and fast-charging electric mobility. Meanwhile, Carbelim is engineering bio-integrated carbon capture and air-purification systems utilizing proprietary microalgae technology.
Scaling the Deep-Tech Ecosystem
Bhaskar Majumdar, managing partner, Unicorn India Ventures, pointed out that India is entering a defining decade for deep-tech startups as the nation transitions from promise to scale.
“As investors, it’s an honour for us to partner with IITM and IIT Madras Research Park, which have been the backbone of deep tech innovation in India,” said Bhaskar Majumdar.
Natarajan Malupillai, group chief executive officer, IIT Madras Research Park, Incubation Cell and RTBI, emphasized the country’s deep engineering and scientific talent pool. He stated that the IITM Unicorn Frontier Fund-I injects long-term capital into the local innovation ecosystem to help scale intellectual property-led enterprises.
With the initial Rs 450 crore secured, the fund aims to build a comprehensive portfolio of 25 companies. The vehicle draws backing from prominent IIT Madras alumni and family offices, while institutional investors and commercial banks are expected to participate ahead of the final close slated for the end of this year. Unicorn India Ventures acts as the fund manager, deploying a co-investment framework to secure ongoing follow-on capital for portfolio ventures as they expand.