Indian Startups Raise $312.69 Million in One Week

This week, Indian startups gathered a remarkable total of approximately $312.69 million through 30 funding rounds, comprising 9 growth-stage and 18 early-stage deals, while 3 startups opted not to disclose their funding amounts.

In contrast, the preceding week reported about $197.71 million raised across 17 startups in both early and growth stages.

Growth-Stage Deals

Growth and late-stage funding this week amounting to $239.9 million was led by Raphe mPhibr, which secured $100 million, marking the largest private funding round for an Indian aerospace company, supported by General Catalyst. Wiom attracted $40 million from Bertelsmann India Investments and Accel, whereas Battery Smart raised $21 million in an extended Series B round. Concurrently, Zerodha’s Nithin and Nikhil Kamath acquired a Rs 250 crore stake in InCred Holdings. Other startups receiving funding include ShopOS, Kazam, Flipspaces, and StayVista.

Early-Stage Deals

An additional 18 early-stage startups raised around $72.79 million collectively. EKA Mobility, a maker of electric vehicles, secured Rs 200 crore ($23.3 million) from ENAM Holdings. Other recipients of early-stage funding include the stock trading platform Sahi, deeptech firm Fabheads, direct-to-consumer brand Rabitat, and fashion tech startup ZILO.

Moreover, integrated supply chain startup Prozo, design product platform All Home, and co-living startup Truliv also raised funds, although the exact amounts were not disclosed.

For a thorough funding analysis, refer to various available sources.

City and Segment-Wise Deals

Delhi-NCR emerged as the leader in funding deals this week, with 8 transactions, followed by Bengaluru with 7. Startups from Chennai, Mumbai, Hyderabad, and other regions also secured funding.

In terms of sectors, e-commerce startups topped the list with 5 deals, followed closely by fintech startups with 4. Both EV and deeptech sectors each secured 3 deals, while decor, proptech, dronetech, telecom, and other sectors also bagged funding this week.

Series-Wise Deals

This week saw a leading 9 deals in Seed funding, followed by Series B with 7 deals. Series A, pre-seed, pre-Series A, and other funding rounds also contributed to the week’s achievement.

Week-on-Week Funding Trend

Startup funding witnessed a 58% increase week-on-week, rising to $312.69 million compared to approximately $197.71 million in the prior week. The average funding over the last eight weeks has been around $254.57 million, with 23 deals per week.

Key Hirings and Departures

This week also highlighted significant hirings across various companies. Loop, a Mumbai-based health and insurance startup, appointed Harpreet Singh Rai, the former CEO of Oura, as President of Healthcare. MyGate advanced Rohit Jindal to co-founder status, with Pranav Shankar promoted to the role of CTO. Edtech company Masai elevated three internal leaders—Keshav Mishra, Aman Vats, and Ankit Agrawal—to co-founders.

There were some notable departures as well, such as Shish Dave stepping down as CEO of Mirae Asset Venture Investments (India) after seven years and Arvind Gupta resigning from his position as an independent director at Open Network for Digital Commerce.

Further details can be found by visiting various sources.

Mergers and Acquisitions

This week, Incuspaze, a managed office space provider, acquired Pune-based co-working company Trios through a cash and stock arrangement to broaden its operations. Walko Food Company, a premium dessert brand, has acquired Mumbai’s Meemee’s Ice Creams, marking its entry into the artisanal dessert arena. Additionally, Zen Technologies has sanctioned the acquisition of a majority stake in defence-tech startup TISA Aerospace, which is focused on loitering munitions and UAVs.

For more in-depth insights, visit various sources.

Fund Launch

Bengaluru’s Amicus Capital Partners has announced the final closing of its second fund at $214 million (about Rs 1,800 crore), exceeding its original target of $200 million (Rs 1,700 crore).

ESOP Buyback

HR tech platform Darwinbox completed an Employee Stock Ownership Plan (ESOP) buyback valued at Rs 86 crore ($10 million), marking its third such buyback in four years. The initiative has benefitted over 350 employees across its 11 global offices in India, Southeast Asia, North America, and the Middle East.

Potential Deals

Eggoz is set to raise Rs 125 crore with support from Gaja Capital.

New Launches and Partnerships

PhonePe and HDFC Bank have partnered to introduce a co-branded credit card. Logistics platform Shipway has launched AI chatbot Loca. Eat Better has joined with Unicommerce to enhance its e-commerce operations. Skyroot Aerospace has signed an agreement with Axiom Space to boost space exploration initiatives, while AbhiBus is partnering with CheckMyBus to enhance global access to intercity travel within India.

Financial Results This Week

Wakefit reported Rs 971 crore in revenue for the first nine months of FY25, although its auditor has expressed concerns regarding past financials. NPCI’s profit surged 42%, reaching Rs 1,552 crore for FY25.

News Flash This Week

Wakefit has filed a Draft Red Herring Prospectus (DRHP) aiming to raise Rs 468 crore through a fresh issue. Net1 has exited its investment in Mobikwik, incurring a notable loss after an eight-year tenure. Pine Labs submitted a DRHP, with Peak XV emerging as the principal seller in the Offer for Sale (OFS). Lastly, Meesho has completed its reverse flip, merging its US entity with its Indian counterpart.

Summary

Startup funding increased by 58% this week, reaching $312.69 million compared to the previous week’s $197.71 million. Merchant payments platform Pine Labs and home solutions brand Wakefit have both filed DRHPs with SEBI for IPOs this week, with Pine Labs proposing a Rs 2,600 crore fresh issue alongside an OFS of 14.78 crore shares. On the other hand, Wakefit’s IPO includes a Rs 468 crore fresh issue with an OFS of 5.84 crore shares, according to their respective DRHPs.

South Africa-based Net1 Applied Technologies has concluded its long-term investment in fintech platform Mobikwik by selling its entire 8% stake (62,15,620 shares) through a block deal on Thursday at Rs 230.16 each, amounting to about Rs 143 crore, as per NSE data. Homegrown e-commerce platform Meesho has finalised its reverse flip back to India following the National Company Law Tribunal’s (NCLT) final approval last week.