Indian startups have achieved remarkable funding this week, raising $694.75 million. This amount includes 6 significant growth-stage deals and 22 early-stage agreements, while 2 startups opted not to disclose their funding details. In comparison, the previous week saw 36 startups securing a total of approximately $310.72 million.
Highlights
Growth-stage Deals
This week’s growth and late-stage funding reached $621.5 million through six deals. The notable highlight was Zepto, which secured $450 million at a valuation of $7 billion. Following this, Kuku FM, a platform for audio and video content, raised $85 million in a Series D round backed by Granite Asia. Wealth-tech startup Dezerv also made strides by securing $40 million from Premji Invest and Accel. Other prominent fundraises this week included HouseEazy, SpeakX, and Two Brothers Organic Farms.
Early-stage Deals
In early-stage funding, 22 startups managed to raise around $73.25 million. The fintech startup GoodScore topped the list with a $13 million round, which was led by Peak XV. Other successful startups in this category included logistics company Airbound, AI firm Smallest AI, healthtech business Everbright Health, data security company Matters.AI, deeptech player Chara Technologies, and SaaS provider CIMCON. Additionally, crypto exchange platform CoinDCX and AI firm Alensured also secured funding, though specific amounts were not revealed. For a detailed funding overview, various sources can be consulted.
City and Segment-wise Deals
When looking at deals by city, Bengaluru-based startups led the way with 12 agreements, while Delhi-NCR followed with 6 deals. Mumbai, Pune, Ahmedabad, Hyderabad, and other regions also saw a number of successful transactions this week. In terms of segments, e-commerce startups dominated with five deals, trailed by deeptech and AI sectors with four and three deals respectively. Fintech, healthtech, OTT, and other startups also gained funding during this timeframe.
Series-wise Deals
This week, seed rounds were once again at the forefront of funding activity, with 15 deals recorded. Pre-seed rounds followed closely behind with 3 deals. Meanwhile, Series D, Series B, Series A, Series H, among others, also saw participation. For more details regarding series-wise deals and associated financial breakdowns, a review of various sources is recommended.
Week-on-week Funding Trend
In this weekly overview, startup funding surged over 2.2X, reaching $694.75 million, compared to around $310.72 million from the previous week. On average, funding over the past eight weeks stands at approximately $315.1 million, involving 26 deals each week.
Key Hirings
This week noted only two significant key appointments. The photonics and defence technology company Olee.Space has appointed Venkateswara Gowtama Mannava, who previously served as Chairman and Managing Director of Bharat Electronics Limited (BEL), as its Strategic Advisor for Production. Meanwhile, global cybersecurity firm Zscaler announced the appointment of Hemant Dabke as Vice President and Managing Director for India and SAARC. Further information can be found in various sources.
Fund Launches
IIMA Ventures and Jaivel Aerospace have established an aerospace and defence acceleration fund aimed at supporting 8 to 10 early-stage startups focusing on areas like autonomy, advanced materials, manufacturing, and secure communications. Additionally, Artha India Ventures (AIV) has successfully completed the first closing of Rs 250 crore for its second micro VC fund, Artha Venture Fund II, which intends to invest in 36 seed-stage startups across sectors including premium consumption, fintech infrastructure, applied AI, and deep tech.
Mergers & Acquisition
TCC Concept Limited, a technology-driven platform entity, has acquired a 95.18% interest in Pepperfry, an omnichannel furniture and home goods marketplace, for Rs 659.44 crore through a share swap arrangement.
Shutdown
Foodtech giant Swiggy is set to close its professional services marketplace, Pyng, by the end of this month after approximately six months since its launch.
New Launches and Partnerships
Apna.co is expanding into voice AI through BlueMachines.ai, expecting rapid enterprise AI adoption. ETO Motors has partnered with APCRDA to introduce electric vehicles in Amaravati. Nykaa and Snapchat are collaborating to kick off a GenZ Beauty Creator Incubator programme. Simple Energy is entering e-commerce with partnerships with Amazon and Flipkart. Rapido has teamed up with Goibibo, redBus, and ConfirmTkt to enrich travel experiences. WeWork India is releasing an AI-driven mobile app. PhysicsWallah is partnering with BSF to provide educational assistance for the families of personnel. Lastly, Lxme has launched LxmePay, the first UPI service in India tailored specifically for women, in collaboration with Juspay and HSBC to create a comprehensive, future-ready payment acquiring solution.
Financial Results This Week
ShareChat recorded Rs 723 Cr in revenue for FY25, while managing to reduce adjusted EBITDA losses by 72%. Eternal displayed a revenue growth of 2.8X in Q2 FY26, albeit with EBIT remaining negative at Rs 137 Cr. Razorpay’s revenue surged by 65% in FY25, crossing a gross profit of Rs 1,200 Cr. Thyrocare reported Rs 216 Cr in revenue for Q2 FY26, with an 81% profit increase. Agritech startup Nutrifresh achieved Rs 14 Cr in PAT from Rs 145 Cr in revenue for FY25. LeadSquared saw its losses drop by 45% in FY25 with modest growth, while Livspace posted Rs 1,460 Cr in revenue for FY25, with losses shrinking by 42%. GenieMode reported a Rs 51 Cr loss on Rs 673 Cr GMV in FY25.
News Flash This Week
PhonePe and G-Pay have both experienced declines in UPI transactions in September, with gaming payments significantly collapsing. Groww has maintained its lead in stock broking, despite a decrease in user base during September. The ED has offered Flipkart a settlement option for its FEMA case via compounding, potentially resolving a long-standing investigation into alleged FDI violations. Apna.co has ventured into the enterprise Voice AI domain with the launch of BlueMachines.ai, leveraging its existing AI infrastructure. Arali Ventures has successfully exited its initial investment in FinBox, reaping a remarkable 26X return, following the startup’s recent $40 million Series B funding round led by WestBridge Capital. Lxme has debuted LxmePay, the initial UPI service in India designed for women, while HSBC and Juspay have forged a strategic alliance to introduce a comprehensive acquiring platform for digital-first global merchants, blending HSBC’s extensive network with Juspay’s payment infrastructure expertise.
