BiofuelCircle Secures Funding for Biomass and Biofuel Marketplace Growth

BiofuelCircle, a prominent biomass and biofuel marketplace, has successfully raised Rs 35 crore in a recent funding round led by Pooja Unichem LLP, with contributions from Varanium Venture, Rajeev Kumar, Karma Capital Advisors Private Limited, and additional investors. In August 2025, the firm secured Rs 70 crore (approximately $8.2 million) from existing investor Spectrum Impact, alongside a group of angel investors and company founders.

The board has approved the issuance of 113,306 Non-Cumulative Compulsorily Convertible Preference Shares (NCCCPS) at Rs 2,648 per share to enhance capital, as stated in its regulatory filings accessed by Startup Superb. Additionally, the board granted approval for the issuance of 500 non-convertible debentures (NCDs) with a face value of Rs 1 lakh each to Varanium Venture, facilitating an additional Rs 5 crore.

Pooja Unichem LLP made a significant investment of Rs 22.40 crore in this fundraising round, while Rajeev Kumar followed with Rs 3 crore, Ashish Kumar with Rs 2 crore, and Karma Capital Advisors Private Limited with Rs 1 crore. Better Advisors LLP and Shridhar Shukla each contributed Rs 50 lakh, and Amitabha Mukhopadhyay and Lexcelon Corporate Advisors Private Limited invested Rs 25 lakh each. Ratnaprabha Mahendra Shukla, Shubham Khandelwal, and Aruna Khandelwal collectively contributed Rs 10 lakh.

According to estimates by Startup Superb, BiofuelCircle’s valuation has surged to approximately Rs 638 crore, reflecting a 21.5% increase from its prior valuation of around Rs 525 crore. The capital raised will be allocated to further the company’s growth strategy.

Established in 2020, BiofuelCircle serves as a digital marketplace for biomass and biofuels, connecting farmers, suppliers, and industries. Operating on a subscription and transaction basis, the platform facilitates price discovery, logistics, and trade finance while empowering farmers to monetise agricultural residue.

Although the Pune-based company is yet to submit its FY26 financial reports, its operating revenue rose significantly to Rs 50.7 crore in FY25, up from Rs 29 crore in FY24. However, losses also increased during this period, climbing to Rs 6.51 crore from Rs 4.9 crore.