StartupXseed keen to invest in Deep Tech, launches second fund of Rs 200 crores

With eyes on Deep Tech, B2B focused companies, from Seed to Early Growth Stages, StartupXseed Ventures has launched a Rs 200 crore Fund II. The Fund II will invest Rs 3 crores to Rs 10 crores per round in emerging deep tech startups from SAAS to SpaceTech, including the areas of cyber security, Silicon IP, HealthTech, FinTech, AgriTech as well as articifical intelligence and machine learning.

StartupXseed Ventures is a sector agnostic Seed and Early stage Venture Capital Fund in India. Since its inception, it has invested into 12 startups. StartupXseed accompanies the startups in their journey of building sustainable business.

BV Naidu, Managing Partner StartupXseed said that in Fund II, the company will continue to focus on Deep Tech companies with capital efficient business models. “Our strategy has worked out very well in the Fund I and is reflected in the performance,” he said. The Fund I investments include Aarav Unmanned Systems (AUS), AlBono, Anlyz, AlphaIC, Bellatrix, CloudSEK, DarwinBox, ShieldSquare, Siliconch Systems, Singularity Dynamics, SmarterBiz and Steradian Semiconductors. The portfolio continues to be healthy and these companies are on a growth path despite the current pandemic situation. Naidu said over the years, StartupXseed has built a team, quality deal flow network, deal evaluation framework, post investment hand-holding and demonstrated exits.

TV Mohandas Pai said StartupXseed has found its niche and unique positioning amongst venture funds. He said it will continue to build on its Fund I performance. “India is today at the cusp of building technology innovations and startups are at the core of its playing a pivotal role.” Pai pointed out that Venture funds like StartupXseed catalyzes the growth of these startups. Co-founding Partner, Ravi Thakur said they have been investing into good companies even during the COVID-19 and the horizon is looking good for investment with much advanced technologies being developed locally. With this new landscape, he said Fund II will continue the momentum to find exceptional leaders working on the greatest of ideas. Jayant Paleti, Co-founder DarwinBox, said the StartupXseed team has demonstrated great commitment towards the startup ecosystem and have always kept the interests of founders at the forefront in every decision they take. “They have exhibited great sensitivity and care while working with us and we have benefited immensely from their involvement.”