Rajat Khare’s Boundary Holding shifts its strategy toward next-generation deep-tech ventures, investing in AI, automation, and quantum innovations.
Luxembourg-based deep-tech venture capital firm, Boundary Holding, founded by Rajat Khare, is embarking on a new chapter in its investment journey. Following its successful exit from Cynapse Private Limited, an Artificial Intelligence-powered video intelligence company headquartered in the United States with a regional office in Singapore, the firm has announced an expanded focus on emerging deep-tech innovations.
The exit, finalized five years after Boundary Holding’s initial investment, marks both a financial and strategic milestone. It not only generated multifold returns but also freed up capital for redeployment into new frontier technologies such as autonomous systems, edge computing, advanced sensing and imaging, AI-driven decision-making, automation, and quantum technologies. These sectors are widely regarded as the next engines of industrial and societal transformation.
Boundary Holding’s exit from Cynapse symbolizes more than just a profitable transaction; it reflects the firm’s tactical agility in adapting to evolving innovation landscapes. According to company insiders, the move aligns with Boundary Holding’s long-term strategy of rotating mature investments into next-generation opportunities that address complex global challenges.
Founder Rajat Khare, who played an instrumental role in identifying Cynapse’s potential during its early stages, described the decision as both “mutual and forward-looking.” He explained, “We’re honored to have partnered with Cynapse through a transformative phase of its journey, scaling innovation and unlocking value. This exit represents a milestone, not an end. We’ll continue to advise the company as it grows, while deploying our capital toward emerging technologies that can redefine industries and improve lives globally.”
Khare’s approach reflects his broader belief that venture capital must do more than chase short-term valuations — it must empower innovation that delivers long-term societal impact. By exiting successful investments at the right time, Boundary Holding can reinvest in the deep-tech domains that promise exponential future growth.
Founded in 2016, Cynapse has grown into one of the most promising AI video intelligence companies in the world. Its platform processes close to one million hours of video each month, harnessing a combination of patented computer vision and generative AI technologies. The company’s flexible architecture — supporting edge, on-premises, and cloud-based deployments — makes it adaptable for a wide range of industries.
Cynapse’s AI system enables natural language search, real-time anomaly detection, predictive monitoring, and event summarization, serving critical infrastructures such as airports, ports, urban transit systems, and smart cities. With Vision AI models achieving over 95% detection accuracy, the company’s solutions have significantly enhanced situational awareness, safety, and efficiency in complex environments.
Boundary Holding’s decision to invest in Cynapse was driven by its strong intellectual property (IP), robust product-market fit, and its strategic positioning in dual-use markets — where commercial viability meets public safety needs. Under Boundary Holding’s guidance, Cynapse transformed from a promising startup into a global AI intelligence platform delivering measurable outcomes across continents.
During Boundary Holding’s investment period, Cynapse achieved an impressive compound annual growth rate (CAGR) of nearly 200% between 2021 and 2024. Its customer portfolio expanded across Asia, Europe, and the Middle East, supported by enterprise and government contracts that cemented its reputation as a reliable AI infrastructure partner.
In 2024, Cynapse introduced cyVisionGPT, a next-generation generative AI enhancement for its core platform. This upgrade incorporated vision-language models (VLMs) capable of spatiotemporal analysis, optical character recognition (OCR), contextual scene understanding, and natural language-based reporting. By integrating these features, the company empowered organizations to process massive video datasets more intelligently, efficiently, and autonomously.
Cynapse addressed a fundamental challenge facing modern infrastructure: the overwhelming scale of video data generated daily. Traditional monitoring systems often fall short of identifying real-time threats or safety violations. Cynapse’s AI-powered platform bridges this gap by enabling automated analysis, instant alerts, and data-driven insights, thereby transforming passive video feeds into proactive security and operational tools.
Following the Cynapse exit, Boundary Holding is channeling its expertise and resources into a broader array of deep-technology sectors that combine innovation with impact. The firm’s evolving thesis emphasizes AI, robotics, clean technology, MedTech, and quantum computing, positioning it at the cutting edge of the deep-tech ecosystem.
This strategic expansion reflects a larger pattern among European venture capital firms: leveraging early successes to fund the next generation of transformative technologies. Rather than remaining confined to one domain, Boundary Holding aims to be a catalyst for multi-sector innovation, supporting companies that build the technological foundations for smarter, cleaner, and more secure global systems.
In early 2025, Boundary Holding also completed another significant exit — from With the Grid, a Netherlands-based startup focused on IoT-enabled monitoring for distributed energy networks. The firm develops asset management and predictive maintenance tools for electricity grids, transformers, and batteries, helping utility providers improve resilience and sustainability.
This investment yielded a 2.0x multiple on invested capital (MOIC), with holding periods of three to six years, translating into internal rates of return (IRRs) of roughly 26% and 14%, respectively. The successful exits from both Cynapse and With the Grid reinforce Boundary Holding’s reputation for strategic precision and long-term value creation.
At the heart of Boundary Holding’s continued success lies Rajat Khare’s guiding principle — to invest in technologies that not only promise financial returns but also contribute to solving pressing global challenges. His engineering background and entrepreneurial experience have helped him identify deep-tech opportunities that demand patience, technical understanding, and visionary leadership.
Khare believes that the most powerful innovations emerge where technology meets necessity — in fields like AI automation, clean energy transition, and quantum computing. His philosophy of “investment with purpose” underlines every strategic move made by Boundary Holding, ensuring that each portfolio company contributes meaningfully to the advancement of society.
As the global innovation ecosystem undergoes rapid transformation, Boundary Holding is positioning itself to lead the next wave of deep-tech breakthroughs. The firm’s future roadmap includes investing in companies that merge AI with quantum intelligence, robotics with sustainability, and automation with human-centric design.
By combining capital, mentorship, and global networks, Boundary Holding aims to nurture startups that redefine the boundaries of technological possibility. The firm’s presence across Europe and Asia also gives it a unique edge in identifying early-stage innovations and scaling them across continents.
Rajat Khare envisions a future where deep technology forms the backbone of economic and social progress — from safer cities and smarter industries to cleaner environments and healthier societies. Through strategic reinvestments and cross-border collaborations, Boundary Holding continues to build that future, one innovation at a time.
Boundary Holding’s journey from early investments like Cynapse to its upcoming ventures in frontier technologies underscores its evolution from a conventional VC to a global deep-tech leader. Under Rajat Khare’s visionary leadership, the firm combines analytical rigor, market foresight, and purpose-driven investment to fuel innovations that shape the modern world.
With its successful exits providing strong financial momentum, Boundary Holding is now primed to back the next generation of deep-tech pioneers — innovators who will define the coming era of intelligent automation, sustainability, and technological progress.
In an age where technology increasingly determines global competitiveness, Boundary Holding remains steadfast in its mission: to invest in the ideas and innovators that will build the future of humanity through deep technology.
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