Transition VC Launches ₹1,500 Cr Fund II to Power India's Deeptech and Energy Transition Ecosystem
Transition VC, one of India's prominent venture capital firms focused on the energy transition space, has announced the launch of its second fund — Fund II — with a target corpus of ₹1,500 crore. The announcement marks a significant milestone in India's growing deeptech investment landscape, signaling strong institutional confidence in climate and energy-focused startups as the country accelerates its clean energy ambitions.
Doubling Down on India's Energy Future
With Fund II, Transition VC is doubling down on its core thesis — that the next wave of transformative companies in India will emerge from the intersection of deep science, engineering, and the urgent global need to transition away from fossil fuels. The firm aims to back early and growth-stage deeptech startups developing solutions across renewable energy, energy storage, green hydrogen, electric mobility, and industrial decarbonization, among other critical sectors.
India's energy transition narrative has gathered tremendous momentum in recent years, with the government setting ambitious targets of achieving 500 GW of non-fossil fuel capacity by 2030 and net-zero emissions by 2070. Private capital is increasingly recognizing the enormous investment opportunity this transition presents — and Transition VC's Fund II is a strong testament to that conviction.
Building on a Track Record of Success
The launch of Fund II comes on the back of what appears to be a strong portfolio performance from its debut fund, lending credibility to the firm's sector-focused, research-driven investment approach. Deeptech investing requires a longer-term perspective and specialized expertise, areas where Transition VC has positioned itself as a trusted partner for founders navigating the complex journey from laboratory to market.
The ₹1,500 crore fund size also reflects a maturing Indian venture ecosystem, where limited partners — including domestic institutions, family offices, and potentially sovereign and development finance institutions — are increasingly willing to commit meaningful capital to climate and technology-focused mandates.
What This Means for India's Startup Ecosystem
The Fund II launch is expected to provide a much-needed capital infusion for deeptech founders who often struggle to find patient, knowledgeable investors willing to back hardware-heavy or science-intensive ventures. Transition VC's expanded war chest positions it as a key enabler of India's clean energy startup ecosystem — and a major force in shaping the country's sustainable economic future.
