Pre-seed VC firm Industrial47 raises Rs 85 Cr in first close of Rs 200 Cr fund

Industrial47, a pre-seed venture fund founded by Rahul Seth, has raised Rs 85 crore in the first close of its debut fund.

The fund has a target corpus of Rs 150 crore with a green shoe option of Rs 50 crore.

The first close saw participation from family offices, industrial groups, founders, and operators. Swiggy co-founder Nandan Reddy also participated in the first close.

Industrial47's cheque sizes will range between Rs 2 crore and Rs 10 crore across 15-20 startups, spanning the sectors of space systems, defence, energy, maritime intelligence, advanced manufacturing, and other frontier technologies, with a pronounced focus on national security and strategic infrastructure.

On the first close, Rahul Seth, Founder and General Partner, Industrial47, noted that given the current global environment, every nation needs to have technological sovereignty. But India has largely outsourced its requirements and imported solutions, he added.

“I hope we now build the originals. The founders we back are closing the gap between what India has and what it needs to build. Every rupee in this fund is a bet on building India's technological sovereignty and industrial self-sufficiency. We will continue to discover, help and back builders early, rather than wait for market conviction," said Seth.

Industrial47's investment portfolio includes fusion tech startup Pranos Fusion, deeptech drone startup Armory, and autonomous submarine builder RekiSe Marine. Seth’s personal investments include startups such as Pixxel, Digantara, PierSight, Alt Carbon, Flam and Anthriq.

Industrial47 evaluates technologies not just for their commercial potential, but also on whether they can become enduring capabilities that India would eventually need to build for itself.

Nandan Reddy, Co-founder, Swiggy, said, "Rahul’s conviction in India’s technological future, and his instinct for spotting companies that create entirely new private sectors, has been remarkable to witness. His service with the armed forces gives him a rare lens on space, energy, and defence."