Yali Capital, a SEBI-registered Alternative Investment Fund (AIF), has successfully closed its first deep tech-focused fund at Rs 893 crore (around USD 104 million). This amount is much higher than its original target of Rs 500 crore and Rs 310 crore greenshoe option. The fund shows strong support from investors who see promise in India’s deep tech sector.
The fund plans to invest in both early-stage startups (Seed, Series A) and late-stage startups (Series D and beyond). It will mainly focus on areas like semiconductors, artificial intelligence, robotics, genomics, aerospace, surveillance, and smart manufacturing.
Yali Capital Backing
Yali Capital’s investors include well-known companies and individuals. Backers include Infosys, Qualcomm Ventures, Tata AIG, and government-supported funds like DPIIT’s Fund of Funds for Startups, Self-Reliant India Fund, Evolvence, and Singularity FOF. Influential individuals such as Kris Gopalakrishnan (Pratithi), Gopal Srinivasan (TVS Capital), Vallabh Bhansali (ENAM), Utpal Sheth (RARE Enterprises), and Vishal Kampani (JM Financial) have also supported the fund.
Veteran investor Lip-Bu Tan, who advises Yali Capital, expressed his belief in India’s deep tech strength. He praised how government and global corporations are backing Yali’s mission to grow this important sector.
Investment Strategy
Nearly one-third of the fund will go to late-stage deep tech companies that are already growing. Mathew Cyriac, General Partner at Yali Capital, explained that India now has a chance to create large, globally competitive public companies in this field. Yali Capital has already invested in companies like C2I Semiconductor, Perceptyne, and 4basecare.
Ganapathy Subramaniam, Founding Managing Partner, added that two-thirds of the fund will help early-stage deep tech startups. He said Yali Capital wants to back visionary founders with patient, long-term capital.
What is Yali Capital
Yali Capital is an investment firm set up to support deep tech startups in India. It works with a dual structure: a SEBI-regulated AIF and a feeder fund in GIFT City to attract global investors. The fund has already made five investments in areas like AI and chip design and aims to invest in three more companies by the end of this year. Yali Capital’s mission is to help Indian founders create innovative products and build a strong deep tech ecosystem that can compete worldwide.
