Graphene Semiconductors raises Rs 4.95 cr from Karnataka Semiconductor VC Fund

Promoters to raise a further fund of Rs 50 cr in 2-years

The outsourced product development (OPD) segment finally seems to be getting attention from investors. After the big ticket acquisition of Symphony Teleca by Harman International Industries for $780 million, start-ups in this space are also attracting the attention of investors.

In a first, the SEBI-registered Karnataka Semiconductor Venture Capital Fund invested Rs 4.95 crore in the Bengaluru-based start-up Graphene Semiconductors.

Graphene claims, it is the first company in the semiconductor space to receive the backing of a governmental-backed VC fund. The VC Fund chose Graphene for its differentiated focus in semiconductor technology and end-to-end product development.

Graphene Semiconductors was founded in April 2013 by six founding members with experience of working in the semiconductor industry and having worked with firms like Sasken, Infosys, Wipro among other firms.

“To get a validation from a governmental authority is a huge win for everyone at Graphene. The backing reiterates our strong services and solutions in the semiconductor, embedded products and soft-IP business space. We’re the only startup company to offer a complete end-to-end solution from product realisation, conceptualisation to deploying the product and following up on sustainability,” said Vilas Bhade, CEO, Graphene Semiconductor.

Graphene as of now works with 22 clients and has clocked revenues of Rs 20 crore. It currently employs 120 people and has a market presence in India, US and Japan. “This is our very first fund raising. We will look at raising funds in two years time and will target a sum of Rs 50 crore,” added Bhade.

The company is focusing on communication, automotive, industrial and storage space in India as it looks to ramp up its offerings by promising quality, predictability, efficiency and productivity.

“We were confident of investing in Graphene once we saw the technological prowess in play. We’re also open to providing additional funding for Graphene if needed, further emphasising our stance on the company’s offerings and stellar business model.

The company has the right ingredients of leadership and technology to climb new heights. At Karsemven, we look to bolster new-age entrepreneurs by providing them the necessary capital and the fund operates predominantly in Karnataka. Graphene is an example of our efforts in building the zeal of entrepreneurship,” said Jayakumar A R, CEO, Karnataka Semiconductor Venture Capital Fund.

Graphene has a business engagement with most of the Top 20 Fabless and IDM Semiconductor companies. The company hopes to build an eco-system of service offerings that meets the demands of the three drivers of business — industry, (building products for end-users) technology (building Intellectual property for emerging products) and academia (building a talented engineering workforce).