Global early-stage venture capital firm Riceberg Ventures on Tuesday announced the launch of a $20 million fund to invest in deeptech startups including ventures in spacetech, AI, health tech, cybersecurity and novel energy. The VC firm plans to invest in 25-30 Indian startups with its new fund with an average ticket size of $500k.
Founded by Ankit Anand, Mredul Sarda, Shubham Raj, and Lino Gandola in 2023, Riceberg Ventures has currently invested in startups including Manastu Space, Signatur Biosciences, EtherealX, Keyron Medical, and Arch0.
“We invest in deep tech startups developing foundational technologies that require extensive R&D to solve complex global challenges. Our focus is on supporting 30-40 startups, with a strong emphasis on founders building breakthrough technologies,” Ankit Anand, Founding Partner, Riceberg Ventures told FE Aspire.
“Spacetech is going through the right triggers for innovation. The cost of space launches has reduced significantly and Indian Space Policy 2023 delineates roles for entities like ISRO, NSIL, fostering a conducive environment for private enterprises, with a Rs 1,000 crore capital commitment from the government. We have observed seasoned entrepreneurs from ISRO, and institutes like IIST / IITs bring the right combination of hunger and experience giving us a significant talent advantage as well,” he said.
The company said it has reserved capital for follow on rounds from the new fund. “Additionally our presence globally in Europe and SF not just helps with infrastructure access but also strategic growth capital from US and European growth funds which the startups will have access to. We’ve co invested with one of the largest VC funds globally,” said Mredul Sarda, Founding Partner, Riceberg Ventures.
India’s deeptech ecosystem has seen growing support from the government with initiatives such as the Rs 10,000 crore Startup Fund of Funds and Rs 50,000 crore National Research Foundation.
However, deeptech startups face significant challenges in getting funding from investors because of their exceptionally long R&D cycles and incubation period, Riceberg said.
“The Indian diaspora has played a pivotal role in some of the world’s most significant innovations, from Google’s early development to OpenAI’s breakthroughs,” said Lino Gandola, Founding Partner at Riceberg Ventures and a former European VC professional. “Yet, many Indian founders have historically operated in the background due to systemic challenges and limited access to early-stage capital,” he added.