Private equity firm Gaja Capital is increasing its focus on deeptech and AI, with coverage in these sectors rising by 50%. The move follows the firm’s investment in Sarvam AI and comes as it prepares for a ₹656.2 crore initial public offering. Investors are tracking the firm's portfolio diversification alongside its upcoming stock market entry.
Gaja Alternative Asset Management Limited is shifting its investment strategy toward artificial intelligence and deeptech sectors. This change, noted by the firm's leadership, includes a 50% increase in the number of companies it tracks within these emerging high-tech areas. The firm is now evaluating opportunities in intelligent manufacturing, defense technology, and quantum computing, marking a departure from more traditional private equity focus areas.
This shift reflects a growing maturity in India's technology landscape. Unlike established software services, deeptech projects often require longer timeframes to mature and higher levels of capital. The firm's interest aligns with a broader national push for technological self-reliance. Gaja Capital recently backed this strategy by participating in the $75 million funding round for the AI startup Sarvam. This investment indicates a willingness to commit larger capital amounts to sovereign technology plays that aim to reduce reliance on imported solutions.
Alongside this strategic pivot, Gaja Capital is preparing for its own entry into the public markets. The firm filed updated draft documents with the Securities and Exchange Board of India (SEBI) in December 2025. The company intends to raise ₹656.2 crore through this initial public offering. This amount includes a fresh issue of ₹549.2 crore and an offer for sale worth ₹107 crore. As of August 2026, the specific dates for the IPO opening and the final price band remain pending.
For potential investors, the firm’s deepening involvement in the startup ecosystem brings a distinct risk profile. Deeptech ventures can be more volatile than traditional investments, with success often dependent on complex long-term research and development. Additionally, because the company has not yet listed, it lacks a public trading history, which makes performance assessment challenging. The firm's future success will depend on its ability to manage the risks inherent in these long-gestation startup bets, while also executing its plans to scale its platforms, including a proposed ₹2,500 crore fifth fund and a ₹1,250 crore secondaries vehicle.