Lavni Ventures Closes ₹200 Crore Fund II for Health and Climate Deep Tech

Lavni Ventures, an early-stage impact investor, has closed its second deep-tech fund at a full ₹200 crore (roughly $21 million) in committed capital, a year after the vehicle's first close in August 2025. Fund II carries a green-shoe option of a further ₹100 crore, giving the Mumbai-and-US-based firm room to expand the corpus if it finds enough founders worth backing.

A narrower, deeper bet on health and climate

Where many Indian venture funds spread bets across consumer software, fintech and enterprise SaaS, Lavni Ventures has built its second fund around a narrower thesis: backing foundational technologies in health and climate that Indian founders can scale globally. The fund is structured as a scheme of the Lavni Ventures Trust, registered with the Securities and Exchange Board of India as a Category II Alternative Investment Fund.

Ticket sizes are calibrated to the long, capital-intensive development cycles typical of deep tech. At the seed stage, Fund II writes cheques of ₹2–6 crore (roughly $210,000–$630,000), reserving ₹8–15 crore ($850,000–$1.5 million) for follow-on rounds at Series A and beyond. That barbell structure — modest first cheques with meaningful follow-on capacity — is designed to let the fund stay in a company's cap table through multiple rounds rather than being diluted out after an initial bet.

Lavni Ventures was founded in 2020, and Fund II is its second dedicated vehicle. The firm's stated investment philosophy is built on a proposition that has become something of a rallying cry among India's deep-tech investors: that Indian founders can build globally scalable health and climate technologies while operating in a capital-efficient manner, without needing the outsized burn rates common in Silicon Valley.

Early bets already on the board

Fund II has already made its first three investments, and they illustrate the fund's range within its health-and-climate mandate. Padcare Labs is developing technology to recycle sanitary waste — a category of waste that is typically incinerated or landfilled untreated in India, creating both environmental and public-health hazards. Monitra Healthcare is building remote cardiac-monitoring devices aimed at extending specialist-level heart care to patients outside major hospital networks. Vidcare is developing portable diagnostic tests designed for use at home, part of a broader push in Indian health tech to move diagnostics out of centralised labs and closer to patients.

Together, the three companies span waste management, cardiac care and point-of-care diagnostics — different technical domains united by the fund's climate-and-health framing rather than a single product category.

Part of a broader deep-tech funding wave

Lavni's close lands amid a wider resurgence of dedicated deep-tech capital in India. Government-backed vehicles such as the ₹500 crore Technology Adoption Fund run by IN-SPACe and larger state-anchored funds have been joined over the past year by a cluster of privately raised deep-tech funds from institutions including IIT Madras Research Park and Unicorn India Ventures, and Asiana Fund's partnership with Taiwan's JC Capital. Investors point to India's National Quantum Mission, Semicon India programme and space-sector reforms as evidence that policy support for hard-tech sectors is now backed by sustained capital commitments rather than one-off grants.

For health and climate specifically, the case is somewhat different: neither sector benefits from a single flagship government mission in the way semiconductors or quantum computing do, which is part of why specialist funds like Lavni argue there is a gap for patient, sector-focused capital. Sanitary-waste recycling, remote cardiac monitoring and home diagnostics are not glamorous categories by venture standards, but they map onto real gaps in India's public-health and waste-management infrastructure that larger, generalist funds have historically been reluctant to underwrite given the longer sales cycles involved in health-system and municipal procurement.

What comes next

With Fund II now fully committed, Lavni's near-term task shifts from fundraising to deployment: identifying additional seed-stage companies in health and climate technology and building out the follow-on reserve toward the portfolio companies that clear their early technical and commercial milestones. Given the fund's ten-year-plus horizon typical of impact-oriented AIFs, meaningful outcomes from Padcare Labs, Monitra Healthcare and Vidcare — and whichever companies join them — are unlikely to be visible for several years. But the close itself is a data point in a trend line that has become increasingly clear through 2026: a growing bench of India-focused funds is willing to underwrite the longer, harder path of deep technology rather than chasing faster consumer software returns.

Sources

• Lavni Ventures floats early stage deep-tech impact Funds II
• Lavni Ventures launches Rs 200 crore fund to invest in India's deeptech startups
• Lavni Ventures Closes First Round of Rs 200 Crore Deep-Tech Impact Fund
• Lavni Ventures Closes Rs. 200 Crore Fund II to Back India's Health and Climate Deeptech Startups