Bluehill.VC Marks Final Close Of ₹400 Cr Maiden Frontier Tech Fund

Early-stage VC firm Bluehill.VC has marked the final close of its maiden ₹400 Cr frontier tech fund. The fund includes a greenshoe option of ₹50 Cr

The fund close comes amid growing momentum in India's deeptech sector, helped by policy support for semiconductors, defence indigenisation and advanced manufacturing

With the fund, the VC is looking at building a concentrated portfolio of 15-16 companies with an average first cheque of $1-2 Mn

Early-stage VC firm Bluehill.VC has marked the final close of its maiden ₹400 Cr frontier tech fund. The fund includes a greenshoe option of ₹50 Cr.

The fund saw participation from SIDBI, state governments Kerala and Uttar Pradesh, alongside leading family offices, accomplished entrepreneurs and UHNIs from India and the Middle East.

The firm backs early-stage startups operating at the seed to Series A stages. The firm is focused on sectors like energy, EVs, nuclear technology, semiconductors, advanced materials, defence, space, water, manufacturing, robotics, industrial technologies and IoT.

With the fund, the VC is looking at building a concentrated portfolio of 15-16 companies with an average first cheque of $1-2 Mn.

“Our ambition is simple – to help build companies from India that don’t just participate in global markets, but define them,” Bluehill.VC managing partner Manu Iyer said.

Moving forth, Bluehill is planning to deploy ₹80 Cr over the next six months, while targeting to launch its next fund in 2027.

Founded in 2017 by Iyer and Sridhar Parthasarathy, Bluehill.VC  claims to have deployed over ₹100+ Cr across seven entities till date. Its portfolio startups include EtherealX, Zebu Intelligent Systems, Sophrosyne Technologies, OptoML, Raptee Energy, Fyn Mobility and Helex.

The fund close comes amid growing momentum in India’s deeptech sector, helped by policy support for semiconductors, defence indigenisation and advanced manufacturing. 

Earlier in June, the finance ministry’s expenditure finance committee (EFC) cleared a ₹1.25 Lakh Cr proposal for the India Semiconductor Mission 2.0 (ISM 2.0) programme.

Amid the policy push, investors are also focussing their funds towards strengthening the deeptech startups of the country with their capital support.

Just this week, early-stage VC firm AUM Ventures marked the first close of its India Innovation Fund II at ₹225 Cr and global venture capital firm Accel raised $550 Mn for a new India-focused fund to back startups in AI, deeptech and other emerging startup categories in the country.

Source: Inc42 - Startups