As India’s deeptech ecosystem gathers momentum across sectors like artificial intelligence, spacetech, defence, and climate innovation, investment firms are increasingly looking beyond conventional startup models toward science-led and IP-driven ventures. Joining this growing wave is Shastra VC, which has announced the launch of its new $100 million fund aimed at supporting early-stage deeptech startups.
Previously operating as Veda VC, the venture capital firm plans to invest between $500,000 and $3 million in startups building proprietary technologies across sectors such as artificial intelligence, climate tech, spacetech, defence, and renewable sciences.
According to the firm, Fund III will continue its focus on deeptech innovation while placing stronger emphasis on emerging sectors including space and defence technologies, AI, and renewable sciences. The new fund will also strengthen the firm’s ability to support startups beyond their initial funding rounds as they scale their technologies and commercial operations.
Shastra VC is led by Vasant Rao, Avijeet Alagathi, and Ashis Nayak. Before building the venture firm, Rao and Nayak had co-founded Autoninja, which was later acquired by ICICI Lombard. Alagathi, meanwhile, founded BYG, which was acquired by Curefit.
The firm says it has already deployed nearly $55 million across its first two funds and currently manages assets worth around $100 million. Over the years, it has backed startups such as Simplismart, Alt Carbon, Sisir Radar, and Avammune.
Beyond capital, the firm has also developed an advisory ecosystem that brings together business leaders, scientific experts, and industry operators. This network includes leaders such as CP Gurnani and C. Jayaram, alongside domain specialists across biotech, semiconductors, climate, and spacetech sectors.
Additionally, Shastra VC says it is supported by a community of over 30 technical champions, including founders, researchers, operators, and limited partners, aimed at helping startups navigate both technological and commercial growth challenges.
At a time when India’s startup ecosystem is witnessing rising interest in indigenous innovation and strategic technologies, the launch of Shastra VC’s new fund reflects the growing confidence around India’s deeptech potential and its next generation of science-led entrepreneurs.
-By Muskan Dengra
