Golden Sparrow Ventures raises $20M in first shut of Fund II

US-structured enterprise capital agency, Golden Sparrow Ventures, on Wednesday raised $20 million within the first shut of its Fund II.

In keeping with the agency, it has acquired commitments for over half of the fund, with 60% of its Fund I restricted companions re-investing on this fund.

The agency will look to again round 22 firms at pre-seed and seed phases with a median examine measurement of $650,000. Round 50% of the fund might be allotted for deeptech firms and 50% for Enterprise AI, with 12% of the capital reserved for follow-on investments in portfolio winners.

The fund has already made its inaugural Fund II funding in an enterprise knowledge platform to wash and construction heavy knowledge for big organisations. It didn’t disclose the title of the startup.

Golden Sparrow’s new fund will broadly take a look at three structural developments: globalisation of Indian deep-tech, enlargement of Enterprise AI infrastructure, and deepening of the US-India expertise hall.

“A decade in the past, Deep Tech was barely 1% of India’s enterprise capital exercise. Right now it represents 15% of $15 billion in annual VC funding — over $2 billion flowing into the sector,” famous Rishaad Currimjee, Founder and Basic Accomplice of Golden Sparrow Ventures

“We have been among the many first to commit actual capital at this intersection. We made 10 Deep Tech investments when it was nonetheless a contrarian guess. Now the area is getting crowded — and founders ought to ask who really deployed capital versus who’s driving the wave,” he added.

The agency’s inaugural fund with a goal corpus of $8 million was totally deployed throughout 18 firms between 2023 and 2025, with follow-on investments bagged from companies like Accel, TDK Ventures, and Prosus, amongst others.

As a part of Fund I, Golden Sparrow had made a seed funding into space-tech agency EtherealX, which just lately closed a $20.5 million Collection A spherical led by TDK Ventures, BIG, Accel, and others at an $80.5 million valuation—a 5.5x markup from when the agency had invested.

Different vital portfolio firms embrace semiconductor agency Morphing Machine, which noticed a 3X markup in valuation with its newest funding spherical led by IAN Alpha Fund, Enterprise AI firm Hosted AI, which is elevating its Collection A spherical now, and Embodied AI startup MyoLab.

Moreover, the agency stated that Ritik Singh might be becoming a member of the workforce as Principal. Singh was Golden Sparrow’s first rent in 2023 and might be returning after a stint at z21 Ventures. He might be main the fund’s Bengaluru workplace and managing the US-India hall sourcing.