Zerodha’s Investment in Capitalmind Financial Services
Zerodha’s Investment in Capitalmind Financial Services
Zerodha, led by Nithin Kamath, has recently invested in Capitalmind Financial Services, a portfolio management firm registered with SEBI and founded by Deepak Shenoy. This funding initiative is part of Rainmatter, Zerodha’s investment arm dedicated to nurturing innovative financial projects.
Sharing this news on X, Nithin Kamath expressed how the journey has come full circle. He mentioned how surreal it feels to reflect on their relationship over the years.
Kamath recalled, “Deepak Shenoy was one of the first individuals I discussed the Zerodha idea with. At the beginning, he kindly agreed to lend his credibility by featuring his name on our website as an advisor.” He also expressed happiness in supporting Shenoy’s venture through Rainmatter, accompanied by a photo with Shenoy.
Deepak Shenoy, in response to Kamath’s announcement, fondly remembered the early days. He shared, “Many thanks, Nithin! It’s hard to believe that I once had credibility to lend to Zerodha! I remember driving around Gurgaon with the initial Zerodha forms in my Hyundai Accent, explaining to people how much brokerage they could save.”
Many thanks, Nithin! It’s hard to believe that at one time, I had credibility to give to Zerodha! I remember carrying the early Zerodha forms in my Hyundai Accent in Gurgaon – telling people how much brokerage they would save 🙂 — Deepak Shenoy (@deepakshenoy) August 6, 2025
Exciting Developments at Capitalmind
Recently, Shenoy’s firm received a mutual fund license, marking this investment as their inaugural institutional funding round. In an interview with Moneycontrol, Shenoy highlighted their longstanding relationship. He mentioned, “We’ve been acquainted for years and have had multiple discussions regarding our businesses. Rainmatter’s strategy is hands-off, aligning well with Zerodha’s core values. We have also engaged in talks with Zerodha Fund House.”
Zerodha’s Growth Journey
Founded in August 2010 by Nithin and Nikhil Kamath, Zerodha began as a bootstrapped entity aiming to simplify trading and reduce costs in India. Over the years, it has grown tremendously, achieving unicorn status in 2019 with a self-assessed valuation of approximately $1 billion following an ESOP buyback. In 2020, the company sought licensing to establish an AMC mutual fund in India and officially launched its fund house in 2023.
Services Offered by Zerodha
Zerodha provides services in equity trading, derivatives trading, currency trading, commodity trading, and mutual funds. Throughout its evolution, the firm has emerged as the largest stock brokerage in India, resulting in significant wealth for the Kamath brothers.
Indian Startups Funding Overview: $95 Million Raised This Week
Indian Startups Funding Overview: $95 Million Raised This Week
This week, Indian startups attracted about $95 million in funding, comprising 5 growth-stage and 10 early-stage deals, while 2 companies opted not to disclose their funding amounts.
Growth-Stage Deals
In terms of growth and late-stage funding, the total reached $72.9 million. Smartworks, a proptech company preparing for an IPO, led the way with a pre-IPO round of $20 million. Education-focused NBFC Varthana followed suit, raising Rs 159 crore (approximately $18.5 million) in debt. The clean-label food brand Kehtika also secured $18 million in a Series B round, spearheaded by Narotam Sekhsaria Family Office and Anicut Capital. Additionally, fintech company Credit Wise Capital and Avis Hospital also attracted funding.
Early-Stage Deals
Ten early-stage startups collectively garnered around $22.11 million, with tech-enabled NBFC InPrime Finserv leading the charge by raising approximately $6 million in its Series A round, supported by Pravega Ventures. Other notable mentions include fintech startup Belong, microdrama OTT platform Chai Bisket, home service marketplace Clean Fanatics, and deeptech startup Green Aero. Conversely, cybersecurity startup LdotR and SaaS startup Monetize360 have raised funds without disclosing the exact amounts.
For a complete funding breakdown, various sources can provide more detail.
City and Segment-Wise Deals
Bengaluru-based startups dominated the funding landscape with 6 deals, followed by Delhi-NCR with 4 deals. Companies in Mumbai, Hyderabad, and other locations also secured funding.
Segment-wise, fintech startups reigned supreme with 4 deals. Deeptech and SaaS startups each recorded 2 deals, while sectors like proptech, foodtech, and OTT also saw activity this week.
Series-Wise Deals
Seed funding was the most prominent with 7 deals, while Series A and pre-Series A each secured 2 deals. Additionally, there were deals in pre-IPO, debt, and Series B funding rounds.
Week-on-Week Funding Trend
This week experienced a 67% decline in startup funding, amounting to $95 million, compared to approximately $290.28 million raised the previous week. The average funding over the last eight weeks stands at around $205.24 million, with 21 deals each week.
Key Hirings and Departures
This week featured significant appointments within various companies. CoinDCX, a cryptocurrency exchange, announced Amol Wanjari as the Head of Engineering and Sangeeth Aloysius as the Head of Product. Foodtech major Eternal, formerly known as Zomato, welcomed Aditya Mangla as the CEO of its core food delivery operations. Autodesk appointed Kamolika Gupta Peres as Vice President for its business in India and SAARC.
For more details, various sources can be consulted.
Mergers and Acquisitions
Workspace solution provider Incuspaze acquired VSKOUT, a B2B SaaS offering curated data analytics for the commercial real estate sector, as part of a strategic move to integrate advanced technologies. Additionally, Infinity Fincorp Solution, a non-bank lender in India, entered into a share purchase and subscription agreement with Partners Group, whereby Partners Group will acquire a significant majority stake in the company.
To view a breakdown of series-wise deals along with amounts, various sources can provide insights.
Fund Launches
IndiGo Ventures, the corporate venture capital arm of IndiGo, announced the first close of its inaugural fund at Rs 450 crore. Furthermore, IIT Madras is launching a Rs 200 crore VC fund aimed at supporting early-stage startups, specifically in the deeptech sector.
New Launches and Partnerships
Awfis is branching into the furniture business to explore new revenue streams and reduce costs. Flipkart Ventures has introduced Leap Ahead 4.0 to support early-stage startups. ClearTax launched a multilingual AI solution for filing income tax returns. PhysicsWallah partnered with YCMOU to offer UGC-compliant online degree programmes. Meanwhile, Flipkart collaborated with Pebble to unveil India’s first smart ring featuring digital displays and gesture controls. Dhruva Space formed a partnership with Pixxel, and Shaadi.com ventured into spiritual technology with the new launch of AstroChat.
Financial Results This Week
Redcliffe Labs reported revenue of Rs 419 crore for FY25, while narrowing EBITDA losses. Smartworks reported Rs 1,374 crore in revenue with Rs 62 crore in losses for FY25.
News Flash This Week
Pocket FM is seeking Rs 85.7 crore in damages from KuKu FM, with the rival asserting that the charges are motivated. PhonePe and Google Pay held a combined 82% market share in UPI transactions during June, while BHIM made a return to the top 10 after a prolonged absence. The Enforcement Directorate conducted raids on the opinion trading platform Probo, seizing assets worth Rs 284 crore. Groww maintained its lead over Zerodha and Angel One despite a decline in user numbers in June. A US court held Byju Raveendran in contempt for bypassing bankruptcy orders. LetsVenture has rebranded as LVX and expanded its focus to include growth-stage investment.
On a weekly basis, startup funding fell by 67% to $95 million, compared to around $290.28 million raised the previous week. The legal dispute between Pocket FM and Kuku FM progressed to the Delhi High Court, with Pocket FM suing Mebigo Labs for allegedly plagiarising five audio series and seeking Rs 85.7 crore in damages and a ban on their content and artwork.
India’s UPI network recorded 18.4 billion transactions worth Rs 24.04 lakh crore in June, experiencing a slight decrease compared to the previous month, according to NPCI data. Despite the dip, PhonePe and Google Pay maintained their leadership in the sector, together handling over 82% of UPI transactions by volume. The active user base in the Indian stock market decreased from 49.67 million in January to 47.89 million in June, although it had a 2% month-on-month rise in May. Groww retained its leading position with a 26.27% market share, despite a 1.67% reduction in users, bringing the total to 12.58 million in June, as per NSE data. The Enforcement Directorate also executed raids on opinion-trading platform Probo, seizing assets worth Rs 284.5 crore, with the company under investigation for alleged transgressions of gambling laws under the Prevention of Money Laundering Act.
AstroTalk, a platform dedicated to astrology, is currently in the midst of negotiations to secure a new funding round estimated between $50-100 million, as reported by three informed sources. This new round of funding discussions comes after a 12-month hiatus for the Noida-based company.
One source, who requested anonymity, mentioned that the conversations are progressing with various investors, including some existing financial backers. It is anticipated that this funding round will mark the final stage before the company submits its Draft Red Herring Prospectus (DRHP) for a public listing within the next six months.
Sources indicate that AstroTalk aims to initiate its IPO process in just a few months.
AstroTalk successfully concluded a $14 million funding round in June of the previous year. Thus far, the company has raised a total of $34 million from investors including Left Lane and Elev8 Capital.
According to another source, who chose to remain anonymous due to the confidentiality of the discussions, AstroTalk is aiming for a valuation between $1.3 and $1.5 billion in the upcoming funding round, which is expected to be finalised in the coming months. This represents a significant increase from its previous valuation of $300 million.
If AstroTalk achieves this valuation, it will join the ranks of Jumbotail, Drools, Porter, Netradyne, and Juspay, all of which have become unicorns in the current calendar year (2025).
For those unfamiliar, AstroTalk is an online platform that allows users to consult with professional astrologers via the internet, phone calls, and chat. The platform boasts a network of 45,634 professionals, including astrologers, tarot readers, numerologists, and Vastu experts, and offers personalised predictions and guidance across various domains such as marriage, relationships, career, health, and more.
Under the leadership of Puneet Gupta, the company has demonstrated robust growth over the past two fiscal years. An internal document reviewed by Startup Superb revealed that AstroTalk concluded FY25 with revenues amounting to Rs 1,182 crore and profits exceeding Rs 250 crore. This follows a notable increase in FY24, where they reported revenues of Rs 651 crore and profits of Rs 100 crore.
AstroTalk opted not to comment on this matter.
Recently, AstroTalk expanded its offerings by launching a direct-to-consumer (D2C) vertical that focuses on spiritual and wellness products. This includes services such as puja bookings, gemstones, and astrological remedies. Co-founder Anmol Jain stated that the D2C sector is expected to contribute 25-30% of total revenue while upholding profitability.
The planned IPO is timely, as profitable consumer-tech startups are experiencing renewed interest from investors. If successful, AstroTalk will become the first venture-funded entity in the online astrology sector to enter the public market. The company continues to face competition from established platforms like Astrosage, Astroyogi, GaneshaSpeaks, and InstraAstro.
Astrobase: Building the Future of Satellite Launches
Astrobase: Building the Future of Satellite Launches
Astrobase is set to revolutionise satellite launches, spearheaded by CoinDCX co-founder Neeraj Khandelwal in collaboration with prominent ISRO scientists Devakumar Thammisetty, Pawan Kumar, and Prashant M. The focus of Astrobase is to meet the rising demand for satellite launches by developing cost-effective and high-payload launch vehicles.
Innovative Technology and Launch Vehicles
The company is innovating with a methane-oxygen full flow staged combustion engine that is capable of accommodating payloads between 3 to 10 tonnes. Astrobase aims to provide three distinct configurations of its launch vehicle: fully expendable, partially reusable, and fully reusable. A source revealed that the target launch cost is expected to be $300 million per kilogram by the year 2034.
Production and Development Progress
According to sources, Astrobase has established an engine manufacturing facility in Bengaluru’s aerospace hub and is prepared to initiate production. The company is transitioning from the research and development phase into manufacturing, having finalised engine and vehicle designs for an orbital-class launch system.
Funding and Valuation Achievements
The space tech company has successfully secured over Rs 60 crore ($7 million) in its initial funding round, led by the venture firm BanyanCo, as evidenced by regulatory filings with the MCA. Startup Superb estimates the valuation of Astrobase at around Rs 623 crore ($72 million) during this round. The firm is making plans to secure additional funding, which will subsequently affect its valuation.
Growing Momentum in Space Tech Startups
In recent years, there has been a notable surge in the growth of spacetech startups. In 2024, 13 startups in this domain raised approximately $85 million in funding. In the ongoing calendar year, 10 such startups have reported fundraising efforts surpassing $15 million.
Government Support for Space Tech
In 2025, the Indian government launched a Rs 500 crore ($58 million) fund through IN-SPACe and approved a Rs 1,000 crore ($116 million) VC fund aimed at bolstering space-tech startups. These funds are designed to enhance local development, reduce dependence on imports, and encourage greater participation from the private sector within the space industry.
Indian Startups Securing $7 Billion in Venture Capital in 2025
Indian Startups Securing $7 Billion in Venture Capital in 2025
Indian startups have secured a stable venture capital inflow of nearly $7 billion during the first half of 2025. Several deals exceeding $100 million, including four surpassing the $200 million threshold, have facilitated this funding. The funding in 2025 continues to closely follow the trends observed in the previous year. Additionally, stricter regulations on layoffs, an increase in IPO filings, and the introduction of substantial funds have contributed to the overall stability of the ecosystem.
Funding Overview
Data gathered from various sources indicates that Indian startups raised approximately $6.72 billion during the initial half of 2025. This capital encompassed 148 growth and late-stage deals accumulating $5.15 billion, alongside 404 early-stage deals worth $1.57 billion. There were also 74 undisclosed deals noted during this timeframe.
During this period, five startups—Jumbotail, Drools, Porter, Netradyne, and Juspay—achieved unicorn status, with all of them headquartered in Bengaluru.
A recent report by Tracxn named India the third-largest destination for startup funding worldwide, following the United States and the United Kingdom. Interestingly, the report did not include China, which raised $6.9 billion in the first quarter of 2025 alone.
Year-on-Year and Month-on-Month Trends
The funding for the first half of 2025 closely aligns with the funding collected during the same period in 2024, where around $7 billion was secured over six months. Although the funding in the last six months outperformed the H1 2023 figures, it significantly lags behind the $20 billion raised in H1 2022 and the $13 billion in H1 2021. On a month-to-month basis, June recorded funding of just under $1 billion, falling short of May’s $1.14 billion. Notably, this marks the third instance where monthly funding dipped below the $1 billion mark in the first half of 2025.
Top Growth Stage Deals in H1
The first half of 2025 experienced a surge in late-stage funding activity, with ten startups securing over $100 million each. Leading the list was AI-oriented Impetus Technologies with $350 million, followed by healthtech company Innovaccer at $275 million, and cross-border fintech Zolve at $251 million. Other notable mentions included logistics firm Porter, HR tech startup Darwinbox, and used-car platform Spinny, in addition to Infra.Market, Jumbotail, Raphe mPhibr, and Leap Finance. Raphe mPhibr, based in Noida, garnered $100 million in the largest private funding round ever raised by an Indian aerospace company.
Top Early Stage Deals in H1
PB Healthcare emerged with a remarkable $218 million seed round, the highest in this category. Fintech firm Saarthi Finance followed with $55.5 million raised in its Series A round, while SaaS startup Atomicwork secured $25 million. The roster also included EKA Mobility ($23.3 million), Sanlayan ($22 million), and Lucidity ($21 million).
Mergers and Acquisitions
The first half of 2025 featured a blend of strategic and consolidation-driven acquisitions within the Indian startup scene. Consumer goods leader HUL topped the charts with a $350 million acquisition of the D2C skincare brand Minimalist. Everstone then followed with a $200 million buyout of SaaS company Wingify, while Delhivery expanded its logistics footprint by acquiring Ecom Express for $166 million. Additional noteworthy deals included TAL Education acquiring edtech firm Epic for $95 million and Head Digital Works purchasing Deltatech Gaming for $56.6 million. The fintech sector remained vibrant, with Razorpay, InCred Money, and Findi pursuing targeted acquisitions to enhance their capabilities.
City and Segment-Wise Deals
Bengaluru led the startup funding arena in H1 2025 with $2.93 billion spread across 218 deals, reflecting over 43% of the total. Delhi NCR followed, amassing $1.62 billion from 166 deals, while Mumbai achieved $880 million through 99 deals. Chennai and Pune experienced moderate activity, raising $136 million and $180 million, respectively. Collectively, these five cities accounted for the bulk of venture funding during the period.
Fintech dominated the funding landscape in H1 2025, attracting $1.58 billion from 83 deals, followed by healthtech and e-commerce sectors, which raised $828 million and $684 million, respectively. AI and foodtech also retained steady interest, generating $523 million and $237 million, respectively.
Stage-Wise Deals
In the first half of 2025, Series B rounds led the funding charts with $1.35 billion, followed by Series D and Series A rounds, which brought in $1.01 billion and $960 million, respectively. The seed stage remained the busiest with over 200 deals, while Series C secured $788 million. Early-stage rounds such as pre-seed and pre-Series A witnessed limited engagement, and debt funding contributed $413 million. For further details, checking various sources is advised.
Layoffs, Shutdowns, and Departures
Indian startups faced a wave of layoffs in H1 2025, with companies like VerSe, Gupshup, and Zypp Electric making the most substantial cuts. This trend signifies a growing caution amid funding challenges, pushing towards leaner operations. However, total layoffs were around 1,000 in H1, excluding public companies like Zomato and Ola Electric, which laid off 600 and 1,000 employees, respectively. In contrast, Indian startups had laid off 3,300 individuals in H1 2024, highlighting a significant decrease in large-scale job reductions observed in prior years.
Comparison: Q1 vs Q2
To provide a clearer understanding of how startup funding and sectoral trends have progressed throughout the year, a Q1 vs Q2 comparison chart has been compiled to highlight essential shifts across both quarters.
Trends in H1 2025
A surge of IPOs and confidential filings was observed, with several Indian startups—including Shadowfax, Physics Wallah, boAt, Urban Company, Shiprocket, Groww, Pine Labs, Capillary Tech, Wakefit, Indiqube, and Curefoods—submitting their draft red herring prospectuses (DRHPs) and preparing for stock market debuts in the coming months. Notably, Shadowfax, boAt, Shiprocket, Groww, Aequs, and Physics Wallah opted for confidential routes for their IPOs.
Vertical consolidation through M&A deals such as Razorpay acquiring POP, InCred Money acquiring Stocko, and Findi acquiring BANKIT showcases startups emphasizing vertical integration and specialization to elevate their offerings.
Additionally, startup funding in India is anticipated to remain resilient in 2025, backed by significant venture capital funds launched in the first half of the year. A91 Partners ($665M), Accel ($650M), L Catterton ($600M), Multiples Asset Management ($430M), and Bessemer Venture Partners ($350M) were among the prominent fundraisers. These developments reveal a solid capital foundation and increasing investor readiness to support promising startups in upcoming months.
Healthcare and AI sectors witnessed robust funding in H1 2025, consistently remaining in the top five sectors, similar to 2024. Healthtech attracted $828 million, while AI secured $523 million, indicating sustained investor confidence in both domains.
Lamark Biotech Raises Rs 6.5 Crore for Innovative Solutions in Biopharma
Lamark Biotech, a promising biopharma startup, has successfully secured Rs 6.5 crore in a pre-Series A funding round spearheaded by the IAN Group. This investment also includes contributions from the IAN Alpha Fund, BioAngels, Vinayender Tulla, Nita Roy, and Venkataraman KNK. The round saw participation from domain experts among IAN’s angel investors.
Based in Ahmedabad, Lamark Biotech had earlier obtained $41.3K in a seed funding round led by VIT-TBI and other investors.
The newly acquired funds will be directed towards accelerating the development of thermostable insulin and expanding the biologics platform, aimed at providing global accessibility, as stated by Lamark in their press release.
About Lamark Biotech’s Mission and Innovations
Founded in 2018 by Vaibhav Bhatia, Lamark Biotech seeks to transform drug delivery methods for chronic and life-altering diseases. Their innovative ProteoStrong platform facilitates the stabilization of delicate protein-based medicines, including insulin, monoclonal antibodies, and enzymes, while preserving their molecular integrity.
Research and Development Initiatives
Lamark Biotech utilizes the research and development capabilities of the Venture Center and NCL Innovation to advance a new range of temperature-resilient biologics. These products maintain their efficacy under extreme conditions, making them particularly suitable for regions lacking proper cold storage facilities.
Market Focus and Future Plans
With its leading product, InsulinStrong, Lamark aims to penetrate the Rs 4,000 crore Indian insulin market. The company has plans to expand its reach into Southeast Asia and the UAE. Over the next 24 months, Lamark Biotech intends to file for international patents, initiate early clinical trials, and establish collaborations with pharmaceutical companies, CDMOs, and global health organisations.
Battery Smart Raises $21 Million for Electric Two and Three Wheelers
Battery Smart Secures $21 Million for Electric Two and Three Wheelers
Battery Smart, a key player in the battery-swapping network for electric two and three wheelers, has successfully raised $21 million in an extension of its Series B funding round. This funding was led by Rising Tide Energy, with significant participation from the Asia Climate Fund and others.
Funding Details
The board of Battery Smart has approved a special resolution to issue 33,192 Series B1 CCPS at an issue price of Rs 54,407 each, aiming to generate funds amounting to Rs 180.5 crore, equivalent to $21 million, as revealed in their regulatory filing accessed from the Registrar of Companies (RoC).
Investments Breakdown
The major contributor in this funding round, Rising Tide Energy, invested $21 million, followed closely by a $6 million contribution from the Asia Climate Fund. Additional investments came from the Ecosystem Integrity Fund and Acacia Inclusion Limited based in Mauritius.
Utilisation of Funds
The funding will be allocated for business expansion, capital expenditures, and general corporate activities, as highlighted in the company’s filings. Reports indicate that the overall size of the company’s extended Series B round could reach $29 million, although current filings only reflect $21 million, with further amounts anticipated later.
Valuation Insights
According to estimates from Startup Superb, the new funding values Battery Smart at $450 million, indicating an increase of over 32% from its initial tranche valuation of $340 million during the Series B round.
Innovative Battery Solutions
Battery Smart offers advanced lithium-ion batteries specifically designed for electric two and three-wheelers. Their quick-swapping solution allows customers to easily exchange batteries at any of their designated swapping stations. The company’s battery-as-a-service (BaaS) model is particularly beneficial for gig workers, as it mitigates the high initial costs associated with electric vehicles.
Funding History
To date, Battery Smart has successfully raised around $170 million, including a notable $65 million in a Series B round led by MUFG Bank, Panasonic, Blume Ventures, and British International Investment (BII) in the previous year.
Financial Performance
Although Battery Smart has not yet released its financial data for FY25, sources indicate a significant threefold increase in revenue, with figures rising to Rs 164 crore in FY24 from Rs 56 crore in FY23. Conversely, losses expanded by 2.3 times to Rs 140 crore during the same period.
This week, Indian startups secured around $197.71 million in total funding, with 7 deals at the growth stage and 8 at the early stage, while 2 startups chose to keep their funding amounts undisclosed.
In comparison, the week prior saw 20 startups, spanning both early and growth stages, raise about $184.75 million.
Growth-stage Deals
This week, growth and late-stage funding reached $138.7 million, spearheaded by the fintech firm Aspora, which raised $53 million through a round co-led by Sequoia and Greylock. Following closely was telecom startup WIOM, raising $35 million, led by Accel and Prosus. Spinny also acquired $30.6 million from WestBridge Capital, while the Chennai-based NBFC Mahaveer Finance raised Rs 200 crore (approximately $23.1 million). Other significant fundraises came from CLR Facility, RenewBuy, and electric two-wheeler manufacturer Okinawa.
Early-stage Deals
Meanwhile, 8 early-stage startups collectively garnered around $24 million in funding. The NBFC startup Techfino led this segment with a $7.5 million (Rs 65 crore) round, followed by EV producer Oben Electric, and fintech companies like Dugar Finance and Saswat Finance. The creative media agency One Hand Clap Media and logistics startup Xportel also secured funding, although they did not disclose the amounts raised.
For more detailed funding insights, several sources are available.
City and Segment-wise Deals
In terms of geographical distribution, Bengaluru startups led with 6 deals, trailed by Delhi-NCR with 5 deals. Startups in Mumbai, Chennai, and Pune also secured funding.
Segment-wise, fintech startups held the lead with 6 deals, followed by EV startups with 2 deals. Other sectors like telecom, cybersecurity, mobility, Insurtech, and edtech also obtained funding.
Series-wise Deals
This week highlighted Series B and Seed funding with 3 deals each, along with Series A, pre-Series A, Series F, and others.
Week-on-week Funding Trend
Compared to the previous week, startup funding increased by 7% to $197.71 million, up from approximately $184.75 million. The average funding over the past eight weeks is approximately $228.35 million, with an average of 22 deals per week.
Key Hirings and Departures
This week featured significant hirings. Honasa Consumer Limited, the parent company of Mamaearth, appointed Yatish Bhargava as Chief Business Officer. GyanDhan has promoted Aman Jain to Co-founder. Pocket Entertainment has elevated Umesh Bude to Chief Technology Officer (CTO).
There were also notable departures, including Gaurav Jain, the Chief Business Officer of ShareChat, and Shalabh Shrivastava, the senior vice president of Driver Org at Swiggy.
For further details, various sources can be consulted.
Mergers and Acquisitions
The rewards-first UPI payments app POP raised $30 million from Razorpay to expand its payment and commerce platform, granting Razorpay a majority stake in the Bengaluru-based startup. InCred Money, the retail wealthtech arm of InCred Group, is preparing to acquire the trading platform Stocko for Rs 300 crore (approximately $35 million). AI startup Krutrim, led by Bhavish Aggarwal, has purchased BharatSahAIyak, a public-sector AI solutions company, from technology consulting firm Samagra.
For a more detailed account, several sources can be accessed.
Fund Launches
Investors from the early-stage angel network JIIF have backed a Rs 350 crore fund by Atomic Capital, a newly established consumer-focused venture capital firm. Quadria Group announced the launch of HealthQuad Fund III, with plans to raise up to $300 million for healthcare investments. Steptrade Capital has declared the initial close of its third Alternative Investment Fund (AIF), Steptrade Revolution Fund-II (SRF-II), with a deployment target of Rs 1,000 crore.
For a breakdown of series-wise deals and additional insights, various sources are available for reference.
Potential Deals
Get My Parking is set to raise fresh funds with a 90% valuation increase.
New Launches and Partnerships
ZOFF Foods has entered the ready-to-cook market through a collaboration with Reliance Retail. Bhindi AI is partnering with WarpSpeed Hackathon to enhance conversational AI. Simplilearn has announced the launch of SimpliMentor GPT, an AI-powered career coach. Additionally, The Trade Desk is partnering with Zepto to introduce a new retail media advertisement model on the Open Internet. NODWIN Gaming has teamed up with Chess.com and ChessBase India, while Swiggy is piloting a travel and lifestyle concierge application named Crew. Virohan is partnering with Orange Health Labs to place skilled Medical Laboratory Technologists across 76 Indian cities.
Financial Results This Week
Capillary Technologies has achieved profitability in FY25. Urban Company reported Rs 1,144 crore in revenue and Rs 28.5 crore in profit before tax for FY25.
News Flash This Week
Delhivery is launching an on-demand intracity shipping app named ‘Delhivery Direct’ to compete with Porter and Uber. Capillary Technologies has filed its Draft Red Herring Prospectus (DRHP) to raise Rs 430 crore through a fresh issue. SEBI has simplified IPO norms for startups concerning ESOPs and reverse-flipping reforms. GlobalBees is currently facing an insolvency plea from the directors of Kuber Industries. MakeMyTrip is seeking to raise $2.5 billion to reduce Trip.com’s stake. Auric, ISAK, and Fix My Curls were named winners of Amazon’s Propel Global Business Accelerator Season 4; the announcement for Season 5 has been made.
Chai Shots: The Emerging Microdrama OTT Platform Raising $5 Million
Chai Shots: The Emerging Microdrama OTT Platform Raising $5 Million
Chai Shots, a microdrama over the top (OTT) platform hailing from Hyderabad, is in the process of securing $5 million during its initial funding round, as reported by two sources familiar with the situation.
A source, who preferred to remain anonymous, stated that General Catalyst, along with Info Edge, is in advanced negotiations to conclude a new funding round for Chai Shots. Additionally, a few angel investors are expected to join this funding initiative.
Overview of Chai Shots
Chai Shots operates as a short-video streaming platform, offering episodes that are less than two minutes long and expanding across multiple Indian languages. The platform is developed by the team behind Chai Bisket, a well-known digital media and storytelling company.
Content Ecosystem
The Chai Bisket team has cultivated a diverse content ecosystem over the past nine years, producing reels, podcasts, films, and regional narratives through various platforms, such as First Show, Mutiny Talent, Studio Panchatantra, and Chai Shots.
Upcoming Launch
Currently, the Chai Shots platform is under development and is anticipated to be launched soon.
Another source mentioned that the official launch and funding announcement might take several weeks. They highlighted that interest in this sector is rising, and additional startups are likely to secure funding shortly.
Industry Competition
Earlier this week, Flick TV, a comparable startup, successfully raised $2.3 million in seed funding, spearheaded by Stellaris Venture Partners, alongside participation from Gemba Capital and Titan Capital. Chai Shots is expected to encounter competition from platforms like Kuku FM’s Kuku TV, ShareChat’s QuickTV, Reel Saga, and Reelies.
Investment Trends
Queries directed to Chai Shots, General Catalyst, and Info Edge on Thursday did not receive a response before this report was published.
In June of last year, General Catalyst merged with the India-focused venture capital firm Venture Highway to enhance early-stage investments in the country. Since that merger, General Catalyst has partaken in the initial funding rounds for Primus Senior Living, Mukesh Bansal’s Nurix AI, and PB Healthcare.
Zype, a leading fintech platform, has successfully obtained Rs 34 crore ($4 million) through debt funding from its long-standing investors, Xponentia Capital, via the Xponentia Opportunities Fund II. The board of Zype has allocated 34,000 non-convertible debentures with a face value of Rs 10,000 each to Xponentia Capital for this funding round, as noted in the recent filing with the Registrar of Companies (RoC).
Utilisation of Funds
The proceeds from this significant debt funding are aimed at bolstering the company’s long-term working capital requirements, as the filing indicated.
About Zype
Founded in 2022 by Yogi Sadana, Zype is a fintech platform that offers instant personal loans up to Rs 2 lakh, providing users with flexible repayment alternatives. Besides lending services, it features a credit analyser that enables users to keep track of their expenditures and a bill payment capability that rewards customers with cashback incentives.
Company Achievements
The fintech platform proudly boasts over 4.5 lakh loans disbursed and has achieved more than 4.5 million app downloads across both iOS and Android platforms.
Previous Funding and Financial Performance
Zype last raised funds in December 2022, securing Rs 146 crore (nearly $17.7 million) from Xponentia Capital. The Mumbai-based company reported an operating revenue of Rs 20.3 crore for the fiscal year ending in March 2024 while incurring a loss of Rs 7.3 crore during the same timeframe.
Competition Landscape
Zype is in competition with several well-established personal loan platforms. For instance, KreditBee has reported a profit of Rs 200 crore in FY24 through its NBFC arm, KrazyBee. Other competitors include CASHe, which announced Rs 651 crore in revenue, and Kissht, which recorded an impressive Rs 1,674 crore in operating revenue, alongside a profit of Rs 197 crore in FY24.
