Bengaluru-based VC firm BYT Capital has launched its maiden deeptech fund with a corpus of INR 180 Cr (about $20 Mn).

The Category II AIF aims to back 18-20 startups with an average ticket size of INR 3-6 Cr. In a statement, the VC firm said that more than half the fund is allocated for follow-on rounds.

The fund has already committed investments across space tech, life sciences, robotics, and clean energy sectors.

BYT Capital said that the fund is backed by “India-aligned” HNIs and family offices, and more than half of its corpus is already subscribed. The fund is likely to reach its final close by Q3 2026.

BYT Capital was founded by Amit Chand and Dinesh Kumar earlier this year. Chand has over two decades of experience across corporate strategy, entrepreneurship, and early stage investing, while Kumar is also the cofounder of VC firm FAAD Capital.

The development comes at a time when more and more investors are looking to back deeptech startups. A number of funds have been launched in the recent past to back aerospace, dronetech, AI, and more startups working in the deeptech domain.

Yesterday, IIT Bombay’s startup incubator Society for Innovation and Entrepreneurship (SINE) unveiled Y-Point Venture Capital Fund with a target corpus of INR 250 Cr to back deeptech startups.

Prior to it, IIT Madras unveiled INR 200 Cr IITM Alumni Fund to back early stage startups, particularly in the deeptech sector.

Other VC firms, including 888VC, Riceberg Ventures, Chiratae Ventures, among others, also rolled out their deeptech-focused funds this year.

In September, eight prominent India and US-based VC firms together launched ‘India Deep Tech Alliance’ (IDTA) to infuse more than $1 Bn in the country’s deeptech startups over the next decade.

Earlier this year, commerce minister Piyush Goyal highlighted the need for India to build a strong indigenous deeptech ecosystem to become self-reliant and globally competitive. In July, the Union cabinet approved the research development and innovation (RDI) scheme with a corpus of INR 1 Lakh Cr, which was first announced during the Budget in February 2024.

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