Yali Capital Launches ₹810 Crore Deep Tech Fund to Boost Indian Startups

Yali Capital launches Rs 810 crore deep-tech fund

Ganapathy Subramaniam (ex-Celesta Capital), and Mathew Cyriac, (ex-Blackstone) will lead the firm, while Lip-Bu Tan of VC fund Walden International will join as fund advisor and Karthik Madathil (ex-Texas Instruments) will be a partner.Deep-tech-focused venture fund Yali Capital on Monday announced the launch of its maiden fund with a target corpus of Rs 810 crore, including a greenshoe option of Rs 310 crore. The fund is helmed by Ganapathy Subramaniam, a former partner at Celesta Capital, and Mathew Cyriac, former private equity (PE) co-head for Blackstone in India and executive chairman of PE firm Florintree Capital Partners. Lip-Bu Tan, chairman of venture fund Walden International has joined as a fund advisor. Karthik Madathil, who has extensive industry experience with the likes of Texas Instruments, is joining the fund as a partner. "Deep tech is a foundational technology, yet it is still difficult to sell. But I think things have changed a little with the advent of AI and Nvidia's success, and suddenly there is a lot of attention in deep tech and semiconductors... I think the big wave for the sector will happen in India and I'm very excited to be involved," Tan said during the fund's launch. Subramaniam, Cyriac and Tan will collectively put $15 million (Rs 125 crore) into the fund. The fund is set to invest in four firms by the end of September this year, Subramaniam said during its launch event. It will invest in about eight to 10 firms in total, and then put in follow-on investments, from the current fund. "We believe sectors like genomics and smart manufacturing will be huge opportunities in India in the near future... Beyond that, a lot of top talent in artificial intelligence is Indian," Subramaniam said. Besides the Rs 500 crore initial target, the fund will have a greenshoe option of Rs 310 crore, which is a provision that allows a fund to raise more capital than originally targeted if there's a higher demand than initially expected. The fund is a Sebi-approved Category 2 Alternate Investment Fund (AIF) and aims to invest in areas such as chip design, robotics, genomics, smart manufacturing, aerospace, AI and other such sectors with deep tech as its base. "A substantial chunk of our capital has come from investors who will actively help these startups with improving their product and strategy... We also have a great monetising experience between me and Lip-Bu. At some point, a lot of these firms may be acquired by, say, a Western strategic (player) . That's not something that just happens; it is often something that you have to build towards," Cyriac said.

Yali Capital launches ₹810 cr fund for deep-tech start-ups

VC firm Yali Capital has launched ₹810 crore, including a ₹310 crore greenshoe option venture fund. The fund floated by Cosmic Circuits's cofounder Ganapathy Subramaniam and former Blackstone executive Mathew Cyriac, looks to invest in early stage start-ups in the deep-tech sector. SEBI-approved Category 2 AIF Yali Capital aims to invest in areas such as chip design, robotics, genomics, smart manufacturing, aerospace, AI and other such sectors with deep-tech as its base, according to a statement by the firm. The firm has roped in former chief executive of Cadence as an advisor. "We believe India is inherently strong in deep-tech. As a country, we have 40 years of high-quality chip design experience India is also very strong in robotics and is now gaining ground in genomics, smart manufacturing, etc. Yali's limited partners consist of top tech executives from India and the USA and with our collective experience, we believe we can lay a strong foundation for deep-tech companies from India," Ganapathy Subramaniam, Founding Managing Partner of Yali Capital. It has already approved investments in four deep-tech companies and expects to complete these investments by the third quarter of 2024. "I see strong opportunities in homegrown deep-tech companies in sectors such as aerospace, imaging, instrumentations and several other emerging areas. We are also honoured to have Lip-Bu Tan, Ex CEO of Cadence who achieved 78 times shareholder return during his tenure, as an advisor to Yali capital. His valuable experience will be instrumental to us," said Mathew Cyriac, Founding General Partner of Yali Capital. SHARE Copy linkEmailFacebookTwitterTelegramLinkedInWhatsAppRedditPublished on July 15, 2024

Yali Capital launches ₹810 cr fund for deeptech start-ups

VC firm Yali Capital has launched ₹810 crore, including a ₹310 crore greenshoe option venture fund. The fund floated by Cosmic Circuits's cofounder Ganapathy Subramaniam and former Blackstone executive Mathew Cyriac, looks to invest in early stage start-ups in the deeptech sector. SEBI-approved Category 2 AIF Yali Capital aims to invest in areas such as chip design, robotics, genomics, smart manufacturing, aerospace, AI and other such sectors with deeptech as its base, according to a statement by the firm. The firm has roped in former chief executive of Cadence as an advisor. "We believe India is inherently strong in deep tech. As a country, we have 40 years of high-quality chip design experience India is also very strong in robotics and is now gaining ground in genomics, smart manufacturing, etc. Yali's limited partners consist of top tech executives from India and the USA and with our collective experience, we believe we can lay a strong foundation for deep tech companies from India," Ganapathy Subramaniam, Founding Managing Partner of Yali Capital. It has already approved investments in four deeptech companies and expects to complete these investments by the third quarter of 2024. "I see strong opportunities in homegrown deep tech companies in sectors such as aerospace, imaging, instrumentations and several other emerging areas. We are also honoured to have Lip-Bu Tan, Ex CEO of Cadence who achieved 78 times shareholder return during his tenure, as an advisor to Yali capital. His valuable experience will be instrumental to us," said Mathew Cyriac, Founding General Partner of Yali Capital. SHARE Copy linkEmailFacebookTwitterTelegramLinkedInWhatsAppRedditPublished on July 15, 2024

Yali Capital Rolls Out INR 810 Cr Fund To Back Deeptech Startups

The VC firm has also roped in former chief executive of Cadence as an advisor Yali Capital, a venture capital firm floated by Cosmic Circuits's cofounder Ganapathy Subramaniam and former Blackstone executive Mathew Cyriac, has launched an INR 810 Cr early stage fund to back startups operating in the deeptech sector. The fund will focus areas, including chip design, robotics, genomics, smart manufacturing, aerospace and AI, among others, in the deeptech space. The VC firm has also roped in former chief executive of Cadence as an advisor. "Yali's limited partners consist of top tech executives from India and the US and with our collective experience, we believe we can lay a strong foundation for deep tech companies from India", said Subramaniam. "I see strong opportunities in homegrown deep tech companies in sectors such as aerospace, imaging, instrumentations and several other emerging areas," Cyriac said. Yali Capital is a SEBI-approved Category 2 AIF and its target close is INR 500 Cr, with an additional greenshoe option of INR 310 Cr. With over 25 years of experience in the semiconductor industry, Subramaniam also serves on Ideaforge and Tonbo Imaging boards. He is also the chairman of Cirel Systems, a provider of analogue and mixed-signal ICs. Meanwhile, Cyriac has served as senior managing director and co head of private equity in India at The Blackstone Group. He also serves as a board member at Fino Paytech, Aeries Financial Technologies and CMS IT Services. This development comes at the heart of investors prioritising deeptech startups with the segment witnessing several fund launches in recent times. For instance, VC firm 8X Ventures marked the first close of its INR 200 Cr (around $24 Mn) DeepTech fund alongside an additional greenshoe option of INR 100 Cr. Last year, deeptech venture capital fund, Java Capital also closed its INR 50 Cr fund, with participation from founders in the Indian startup ecosystem and high net worth individuals (HNIs) located in India, the Middle East, and the US. Not to mention, the government has also come up with incentives and policies to bolster the segment. Earlier this year, it made a substantial investment of INR 10,372 Cr over five years for the India AI Mission, marking a boost in the AI ecosystem.