Bengaluru: Yali Capital, a SEBI-registered Category II Alternative Investment Fund (AIF), has announced the final close of its maiden deep tech investment fund at ₹893 crore (~USD 104 million), substantially surpassing its initial target corpus of ₹500 crore and a ₹310 crore greenshoe option.
This milestone underlines the surging global confidence in India’s deep tech potential.
The fund is designed to invest across both early-stage (Seed to Series A) and late-stage (Series D and beyond) companies, focusing on transformative sectors such as semiconductors, artificial intelligence (AI), robotics, aerospace and surveillance, genomics, and smart manufacturing.
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Yali Capital: Two-Tier Investment Structure
Yali Capital operates through a two-tier investment structure, combining its SEBI-registered domestic fund with a GIFT City-based feeder vehicle aimed at attracting global Limited Partners (LPs).
The firm has already backed five startups – including C2I Semiconductor, 4basecare, and Perceptyne – and aims to scale its portfolio to eight companies by the end of 2025.
Mathew Cyriac, General Partner at Yali Capital, noted: “About one-third of the capital will be deployed into late-stage deep tech firms. India is well-positioned to create globally competitive public companies in this space. We are grateful to the investor community for believing in this long-term vision.”
The fund has attracted a diverse and high-caliber group of LPs:
- Corporates: Infosys, Qualcomm Ventures, Tata AIG
- Funds of Funds: DPIIT’s Fund of Funds for Startups (via SIDBI), Self-Reliant India Fund, Evolvence, Singularity FOF
- Prominent Individuals: Kris Gopalakrishnan (Pratithi), Gopal Srinivasan (TVS Capital), Vallabh Bhansali (ENAM), Utpal Sheth (RARE Enterprises), Vishal Kampani (JM Financial), Sanjay Nayak (Tejas Networks), Nambi Seshadri (former Broadcom CTO), and C. Srinivasan (Cosmic Circuits)
Lip-Bu Tan, veteran global investor and advisor to Yali Capital, commented, “India is poised for a deep tech revolution. Yali Capital’s efforts are aligned with a larger movement of government, entrepreneurs, and investors working together to position India as a deep tech powerhouse.”
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Yali Capital’s leadership includes Founding Managing Partner Ganapathy Subramaniam, who emphasized that two-thirds of the fund will focus on early-stage startups: “We believe in patient capital. We’re here to support founders building the future of India’s deep tech sector.”
The team also includes Partner Karthik Madathil and CFO Sunil Patil, and is headquartered in Bengaluru, India’s deep tech and startup capital.
This fundraise places Yali Capital at the forefront of India’s emerging deep tech investment ecosystem, with plans to actively deploy capital over the next four years to fuel the next generation of innovation.
