New Delhi, Feb. 4 -- US-based venture capital firm Golden Sparrow Ventures has completed the first close of its second investment fund, targeting $20 million (around Rs 181 crore), with more than half of the capital committed.
The US structured fund will back Indian origin founders building deep technology and enterprise artificial intelligence companies. Over 60% of limited partners from Golden Sparrow's inaugural fund have reinvested in Fund II, according to the firm.
Golden Sparrow claimed that its first fund, an $8 million vehicle deployed between 2023 and 2025, invested in 18 companies and has delivered top decile early performance for its vintage. The portfolio companies of the fund have raised follow-on capital from investors including Accel, TDK Ventures, Prosus, and Village Global.
Rishaad Currimjee, founder and general partner of Golden Sparrow Ventures, said deep technology investing in India has expanded significantly in recent years. "A decade ago, deep tech was barely 1% of India's venture capital activity. Today it represents 15% o $15 billion in annual VC funding," Currimjee said.
The firm's portfolio includes companies across spacetech, semiconductors, enterprise AI, biotech, quantum photonics, and robotics. One of its early investments, EtherealX, recently raised a Series A round at a valuation of $80.5 million after Golden Sparrow entered at the seed stage. Another portfolio company, Morphing Machines, raised a Series A round in late 2025 as it works toward building and testing out its first chip.
Golden Sparrow said Fund II will invest in around 22 companies at the pre-seed and seed stages, with an average initial cheque size of about $650,000 (nearly Rs 6 crore).
Roughly half the fund will be allocated to deep technology and half to enterprise AI, with capital reserved for follow-on investments in selected portfolio companies.
The fund is structured as a Delaware limited partnership and is administered through AngelList. Golden Sparrow has already made its first investment from Fund II, backing a repeat founder building an enterprise data platform focused on cleaning and structuring legacy data.
The firm also appointed Ritik Singh as principal. Singh, an IIT Kharagpur graduate, will lead the firm's Bengaluru office and focus on sourcing investments across the US India corridor.
Golden Sparrow's operating partners include Michael Marmor, former global chief technology officer and early investor at Amazon, and Venkat Raju, a serial founder and deep technology investor. Anand Rao, former global AI lead at PwC, serves as a venture partner focused on artificial intelligence.
Golden Sparrow said Fund II targets gross returns of five times invested capital over a 10-year period.
Published by HT Digital Content Services with permission from VC Circle.