IIT Madras aims to raise Rs 200 crore for its maiden VC fund

Prof V Kamakoti, director IIT Madras

IIT Madras on July 5 announced its plans to raise Rs 200 crore for its first-ever venture capital fund, with a sharp focus on nurturing startups emerging from its innovation and entrepreneurship ecosystem.

In a call to the institute’s vast alumni network and broader investor community, IITM Director Prof. V. Kamakoti urged stakeholders to actively participate in this growth journey. The new fund, aptly named the IITM Alumni Fund, aims to support cutting-edge startups, particularly in the deeptech space, a sector where IITM has already made notable strides.

"Now is the time to give back. When you give, you get back," Prof. Kamakoti said, echoing a popular Tamil proverb during his address. He highlighted that the initiative is designed not only to accelerate the growth of promising startups but also to offer alumni and investors a meaningful way to engage with their alma mater and benefit from India's booming startup landscape.

The move comes on the heels of IITM’s successful track record in fostering deeptech ventures, highlighted most recently by the blockbuster IPO of Ather Energy, an electric scooter startup born in its labs. The fund is expected to provide crucial early-stage capital, enabling startups to scale rapidly while strengthening IITM’s reputation as a powerhouse of innovation.

Detailed terms and structure of the fund are yet to be announced, but the comments hint at opening participation to all alumni and supporters eager to fuel the next wave of Indian technological breakthroughs.

Meanwhile, three deeptech and AI startups were selected out of 20 out of over 250 at the event,  who will receive support from the IIT Madras Innovation Ecosystem, which has nurtured over 500 start-ups in the past decade.

Firstly, Folium Sensing, a fiber-optic sensing system for real-time monitoring of critical infrastructure. Second, Q-axis Motors, which is India's first precision gimbals for defense, drone & surveillance, and lastly, Zentor Medtech, which has developed the world's first solid state laser technology for eye surgery.

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