Transition VC launches Rs 1,500 crore Fund II to back energy and industrial deeptech startups

Transition VC launched Fund II with a target size of Rs 1,500 crore ($150 million) to invest in energy and industrial deeptech startups.

The fund plans to invest $2-5 million in 20-23 hardware and deeptech companies across the energy demand and supply chain, starting October 2026.

Transition VC will focus on energy transition, advanced manufacturing, application engineering, semiconductors, nuclear energy, geothermal, and next-generation energy infrastructure.

The firm targets the 'missing middle' stage — startups with technical feasibility and early commercial traction but without scaled product-market fit.

Transition VC's first fund (Rs 723 crore) generated a 57% IRR and over 3x multiple on invested capital within three years.