Speciale Invest, an Indian venture capital firm established in 2017, has announced plans to invest 6 billion rupees ($69 million) in early-stage Indian startups by 2029. This investment will be directed towards "deep-tech" innovations across sectors like artificial intelligence (AI) and space technology.
Focus on Deep Tech and Early-Stage Investments
Speciale Invest focuses on companies at the pre-seed and seed levels, with investment sizes typically under $1 million. Half of their total fund is reserved for follow-on investments. The firm seeks to partner with founders who are reimagining the world through strong scientific and engineering innovations. Their investment strategy centers around identifying and nurturing startups exploring cutting-edge technologies.
The firm's areas of interest include enterprise software and frontier technologies, with a particular emphasis on deep tech innovations. They are enthusiastic about startups working on technologies ranging from rocket engines and electric vehicles to conversational AI and augmented reality. Speciale Invest aims to bring technology to society and actively nurtures the tech startup ecosystem by investing in both hardware and software ventures.
Investment Philosophy
Speciale Invest emphasizes a "zero to one" approach, often being the first institutional investors in the companies they back. They prioritize investments based on the founders, their vision, and unique insights. The firm is keen on technologies that can lead to large-scale impact on people and communities and looks for startups solving future problems.
Previous Funds and Investments
Speciale Invest's first fund of Rs 60 crore (approximately $7.2 million) was raised in 2018 and invested in 18 companies with an average deal size of under $0.5 million, achieving five early exits. In April 2022, the firm announced the final close of its second fund at Rs 300 crore (approximately $36 million), planning to invest in over 20-22 early-stage companies through pre-seed and seed rounds with an average cheque size ranging from $500,000 to $1 million.
Their portfolio includes companies like Agnikul Cosmos, ePlane Company, Ultraviolette, Cynlr, Qnu Labs, Galaxeye Space, Uravu Labs, and NewTrace. These companies operate in sectors such as spacetech, aerospace, green hydrogen, robotics, batteries, quantum-tech, AI-led SaaS, dev tools, and data infrastructure.
Fund III and Future Strategy
Speciale Invest's Fund III closed at Rs 600 crore, exceeding its initial target of Rs 500 crore. This fund will focus on sovereign tech and globally scalable intellectual property (IP) from India. The firm plans to back 18-20 early-stage deeptech startups in sectors such as AI infrastructure, spacetech, climatetech, quantum systems, advanced manufacturing, and dual-use defense. Initial ticket sizes will range from Rs 7 to Rs 10 crore, with the potential for larger investments in some cases. A significant portion of Fund III, Rs 300 crore, is reserved for follow-up investments.
The firm believes that India's geopolitical position necessitates reducing dependence on certain foreign technologies, emphasizing the importance of building sovereign-edge technologies within the country.
