Java Capital launches Rs 400 Cr Fund III to back seed-stage deeptech startups
Java Capital plans to invest in 15 to 20 companies over the next three to four years. It will lead or co-lead rounds with initial investments of Rs 6 crore to Rs 8 crore.
Java Capital on Monday launched its third fund, with a target corpus of Rs 400 crore, including a greenshoe option of Rs 150 crore, as the Bengaluru-based venture firm doubles down on early-stage deeptech investments.
According to a statement, the new fund is a step up in scale for the seed-stage investor, which evolved from a micro-VC fund to an institutional deeptech fund, often describing itself as a “first-cheque” partner to founders building intellectual property-led companies from India for global markets.
The new vehicle will focus on seed-stage companies in sectors, including semiconductors, spacetech and aerospace, cybersecurity and defence technologies, robotics and physical intelligence, AI infrastructure and vertical AI, advanced manufacturing and materials, energy and climate infrastructure, quantum systems, and synthetic biology.
“At Java Capital, we have always believed that the next decade of global innovation will be shaped by hard science and deep engineering. With Fund III, we are reinforcing that conviction. India has emerged as a global hub for deeptech talent, and we aim to be the first institutional partner for founders building frontier technologies,” said Vinod Shankar, Co-founder and Partner, who is based in Bengaluru.
The firm plans to invest in 15 to 20 companies over the next three to four years. It will lead or co-lead rounds with initial investments of Rs 6 crore to Rs 8 crore and has earmarked follow-on reserves to back portfolio companies through Series A and later stages.
Java Capital was founded by Shankar and Bhargavi Vijayakumar, who is based in the US. The firm said its cross-border presence helps startups access customers, talent, and capital in both markets.
“The best Indian deeptech companies will be global from the start—that’s the shift we’re seeing. I spend most of my time in the US helping our founders figure out who to talk to and how to get in the door. By being embedded in both markets, we help founders think globally from day one. Java Capital Fund III is a launch platform for Indian IP, not just capital support,” Vijayakumar said.
Java Capital’s existing portfolio includes Agnikul, Lightspeed Photonics, Eplane, Cynlr, Okulo Aerospace, Oorja Energy, and Healium.
Edited by Suman Singh