SUMMARY

Indian startups cumulatively raised $226.2 Mn across 18 deals

Securing a $80 Mn funding, Perfios became the second startup to attain unicorn status in 2024

Fintech sector pulled in maximum number of cheques, propelling startups to raise a total of $91.5 Mn

Startup funding activity gained ground in the second week of March after a slight dip. Between March 11 and 16, startups cumulatively raised funding of $226.2 Mn across 18 deals, a 50% increase from $150.1 Mn across 17 deals in the previous week.

The week also saw India minting its 114th Unicorn as fintech SaaS startup Perfios raked in $80 Mn cheque from Teachers’ Venture Growth at a valuation of over $1 Bn.

Funding Galore: Indian Startup Funding Of The Week [Mar 11 – Mar 16]

Key Startup Funding Highlights Of The Week

• Perfios’ $80 Mn fundraise was the largest round of the week.
• Supported by Perfios’ funding, the fintech sector emerged as the most funded sector, propelling startups to raise a total of $91.5 Mn. The sector also received the highest number of 4 deals. 
• Seed funding regained its pace with startups securing $5.9 Mn, a 655% jump from last week’s $904k. 
• Venture Catalysts emerged as the most active investor this week, investing in Fiona Diamonds and Attron Automotive.

Mergers and Acquisitions This Week

Other Major Developments

• The Competition Commission of India (CCI) has given its nod to the merger of fintech unicorn slice with North East Small Finance Bank.
• Bengaluru-based on-demand driver aggregator DriveU told Inc42 that is seeks a funding of around $10 Mn in its Series B round.
• Omnichannel jewellery startup BlueStone is eyeing to acquire a $9 Mn debt from VC firm Trifecta Capital. To raise the capital, the startup’s board passed a resolution to allot ‘Series X1 Debentures’ to Trifecta Venture Debt Fund-III last month.
• A91 Partners is in the final stage to raise its largest ever fund to date at $700-750 Mn. The investment firm is eyeing the fund launch in a few months.
• Dealing with unsustainable business models, two fashion startups Virgio and Fashinza have initiated a process to return most of the proceeds they had raised from marquee investors like Prosus Ventures and Accel.
• VC firm Peak XV Partners announced its plans to launch an evergreen perpetual fund called Peak XV Anchor Fund to enable the firm’s leadership to invest in future funds as well as partner with other fund managers. 
• Stock broking startup Zerodha is in preliminary discussions with multiple investors to secure a $100 Mn investment for its asset management company (AMC), Zerodha Fund House. However, Zerodha Fund House, in a statement, told Inc42 that it is currently not engaged in any conversations to raise external funding.
• 8i Ventures floated a seed funding programme, Origami, to support early-stage founders. Select startups will be offered an initial funding ranging between $250K and $2 Mn. 
• Small Industries Development Bank of India (SIDBI) secured $24.5 Mn from UN’s Green Climate Fund (GCF) for its $120 Mn climate focussed fund Avaana Sustainability Fund (ASF).
• Prath Ventures has raised $14.5 Mn from SIDBI Funds of Funds, several other angel investors and family offices, marking the second close of its INR 225 Cr fund.
• Eyeing global expansion, gaming major Nazara has set aside $100 Mn for mergers and acquisitions over the next two years.
• Alternative credit platform BlackSoil NBFC raised an equity of $12 Mn (INR 100 Cr) from its existing Indian investors and family offices through a rights issue.

SUMMARY

Indian startups cumulatively raised $226.2 Mn across 18 deals

Securing a $80 Mn funding, Perfios became the second startup to attain unicorn status in 2024

Fintech sector pulled in maximum number of cheques, propelling startups to raise a total of $91.5 Mn

Startup funding activity gained ground in the second week of March after a slight dip. Between March 11 and 16, startups cumulatively raised funding of $226.2 Mn across 18 deals, a 50% increase from $150.1 Mn across 17 deals in the previous week.

The week also saw India minting its 114th Unicorn as fintech SaaS startup Perfios raked in $80 Mn cheque from Teachers’ Venture Growth at a valuation of over $1 Bn.

Funding Galore: Indian Startup Funding Of The Week [Mar 11 – Mar 16]

Key Startup Funding Highlights Of The Week

• Perfios’ $80 Mn fundraise was the largest round of the week.
• Supported by Perfios’ funding, the fintech sector emerged as the most funded sector, propelling startups to raise a total of $91.5 Mn. The sector also received the highest number of 4 deals. 
• Seed funding regained its pace with startups securing $5.9 Mn, a 655% jump from last week’s $904k. 
• Venture Catalysts emerged as the most active investor this week, investing in Fiona Diamonds and Attron Automotive.

Mergers and Acquisitions This Week

Other Major Developments

• The Competition Commission of India (CCI) has given its nod to the merger of fintech unicorn slice with North East Small Finance Bank.
• Bengaluru-based on-demand driver aggregator DriveU told Inc42 that is seeks a funding of around $10 Mn in its Series B round.
• Omnichannel jewellery startup BlueStone is eyeing to acquire a $9 Mn debt from VC firm Trifecta Capital. To raise the capital, the startup’s board passed a resolution to allot ‘Series X1 Debentures’ to Trifecta Venture Debt Fund-III last month.
• A91 Partners is in the final stage to raise its largest ever fund to date at $700-750 Mn. The investment firm is eyeing the fund launch in a few months.
• Dealing with unsustainable business models, two fashion startups Virgio and Fashinza have initiated a process to return most of the proceeds they had raised from marquee investors like Prosus Ventures and Accel.
• VC firm Peak XV Partners announced its plans to launch an evergreen perpetual fund called Peak XV Anchor Fund to enable the firm’s leadership to invest in future funds as well as partner with other fund managers. 
• Stock broking startup Zerodha is in preliminary discussions with multiple investors to secure a $100 Mn investment for its asset management company (AMC), Zerodha Fund House. However, Zerodha Fund House, in a statement, told Inc42 that it is currently not engaged in any conversations to raise external funding.
• 8i Ventures floated a seed funding programme, Origami, to support early-stage founders. Select startups will be offered an initial funding ranging between $250K and $2 Mn. 
• Small Industries Development Bank of India (SIDBI) secured $24.5 Mn from UN’s Green Climate Fund (GCF) for its $120 Mn climate focussed fund Avaana Sustainability Fund (ASF).
• Prath Ventures has raised $14.5 Mn from SIDBI Funds of Funds, several other angel investors and family offices, marking the second close of its INR 225 Cr fund.
• Eyeing global expansion, gaming major Nazara has set aside $100 Mn for mergers and acquisitions over the next two years.
• Alternative credit platform BlackSoil NBFC raised an equity of $12 Mn (INR 100 Cr) from its existing Indian investors and family offices through a rights issue.