IIT Madras, IIT Madras Research Park, and Unicorn India Ventures have announced a Rs 450 crore first close for the IITM Unicorn Frontier Fund I, part of a planned Rs 1,000 crore deeptech fund. “At IIT Madras, we have built an ecosystem that has nurtured several deeptech companies who have consistently demonstrated TRL growth. With a joint fund with best in class deeptech investors Unicorn India, we are now confident that these companies will not only get access to patient capital but also strategic growth guidance as well,” said Prof Kamakoti Veezhinathan, Director, IIT Madras. The capital has been assembled fromIIT Madras alumniand family offices, with institutions, corporates, and banks expected to join before the final close in December. Unicorn India Ventures, an early-stage fund, is the fund manager, while IIT Madras Research Park is the research and incubation partner. The fund plans to invest in about 25 intellectual-property-led, engineering-heavy startups, with cheques of Rs 15 crore to Rs 25 crore. Most investments will target Technology Readiness Levels 3 to 4, meaning technologies that have reached proof of concept or laboratory validation. The aim is to bridge the gap between research and commercial deployment. It also plans follow-on investments and co-investment support so portfolio companies can continue funding development. The first close came three months after Securities and Exchange Board of India (SEBI) approval. When the fund was announced in February, IIT Madras described it as a Rs 600 crore vehicle with a Rs 400 crore greenshoe option, taking the potential size to Rs 1,000 crore. Its six focus areas are defence technology, space, semiconductors, manufacturing and robotics, AI infrastructure and generative AI, and health technology. “Through our partnership with IIT Madras, we aim to provide early founders the capital and strategic support required to scale and build globally competitive companies from India,” noted Bhaskar Majumdar, Managing Partner, Unicorn India Ventures. Nearly Rs 55 crore is already being deployed across four startups. Chennai-based Hathor is developing semi-cryogenic and cryogenic rocket engines for small and medium satellite launch vehicles. Delhi-based Quanstra is building single-photon detection systems and quantum instrumentation. Triolt Energy is developing lithium-ion cells for drones and fast-charging electric mobility. Carbelim is developing carbon-capture and air-purification systems using microalgae. The move comes as Indian deeptech attracts larger pools of capital. Deeptech startups had raised about $2.3 billion across nearly 200 deals by early September 2026, compared with $1.62 billion across 453 deals in all of 2025. Recent raises show the breadth of activity. Spacetech companyPixxelraised $100 million in September, quantum-security company QNu Labs raised Rs 200 crore, and semiconductor startup Aheesa Digital Innovations raised about Rs 40 crore earlier this year. Meanwhile, policy i
