Photo via Wikimedia Commons
The Indian Institute of Technology Madras has partnered with venture capital firm Unicorn India Ventures to establish the ₹6 billion IITM Unicorn Frontier Fund I.
The vehicle has an additional ₹4 billion greenshoe option. It will focus on backing companies emerging from the IIT Madras, its incubator, Incubation Cell, and its research park.
The deep tech fund will primarily focus on early-stage investments at TRL levels 3 and 4, seeking out engineering-heavy startups in areas including defence, space tech, medtech, semiconductors, and robotics.
It will also make a few select investments in later stages — up to TRL levels 7 to 9.
It will aim to build a portfolio of more than 25 companies, writing initial cheques sized at ₹80 million to ₹100 million.
The IITM Unicorn Frontier Fund I has been structured as a ten-year vehicle, with a two-year extension option. It will allocate 60% of its capital to initial commitments, with the remainder reserved for follow-on rounds.
“The need of the hour is to reduce reliance on technology imports and strengthen indigenous capabilities. IIT Madras has been at the forefront of this for over a decade and this fund is the next logical step for us.”
Kamakoti Veezhinathan, director, IIT Madras
The fund will be managed by Unicorn India Ventures, which will tap co-investors and its international network of limited partners to raise the capital.
