SUMMARY
Indian startups cumulatively raised $447.5 Mn across 22 deals, a 97% increase from the $227.1 across a same number of deals last week
The week saw one mega funding round materialise with edtech unicorn Physics Wallah raising $210 Bn in its Series B funding round
Seed funding plummeted this week to $2.3 Mn from the $24.9 Mn raised by startups at this stage last week
Continuing the momentum on a recently gained volatility, funding trends picked up this week after a slight dip. Between September 16 and 21, Indian startups cumulatively raised $447.5 Mn across 22 deals, up 97% from the $227.1 with the similar number of deals in the preceding week.
It is pertinent to note that the week also saw one mega deal materialise in the form of the $210 Mn raised by edtech unicorn Physics Wallah in its Series B funding round led by Hornbill Capital at a valuation of $2.8 Bn. This marked only the second fund raise for the edtech startup, after it raised $100 Mn in its maiden funding round at a valuation of $1.1 Bn back in 2022.
Funding Galore: Indian Startup Funding Of The Week [ Sep 16 – Sep 21 ]
| Date | Name | Sector | Subsector | Business Model | Funding Round Size | Funding Round Type | Investors | Lead Investor |
| 20 Sep 2024 | Physics Wallah | Edtech | Test Preperation | B2C | $210 Mn | Series B | Hornbill Capital, Lightspeed Venture Partners, GSV, WestBridge | Hornbill Capital |
| 18 Sep 2024 | Redcliffe Labs | Healthtech | Healthcare Services | B2C | $42 Mn | Series C | IFU, LeapFrog Investments, HealthQuad, Spark Growth Ventures | IFU |
| 17 Sep 2024 | iBUS | Enterprisetech | Horizontal SaaS | B2B | $34 Mn | – | IFC | IFC |
| 19 Sep 2024 | Everest Fleet | Travel Tech | Transpor Tech | B2B-B2C | $30 Mn | Series C | Uber | Uber |
| 20 Sep 2024 | Aye Finance | Fintech | Lending Tech | B2B | $30 Mn | Series G | ABC Impact, British International Investment | ABC Impact |
| 20 Sep 2024 | Big Bang Boom | Deeptech | Defensetech | B2B | $30 Mn | – | Mumbai Angels Network, Vyom Family Office, SBI Startup Branch Chennai, Asquare Investing | – |
| 17 Sep 2024 | Way2News | Media & Entertainment | Digital Media | B2C | $14 Mn | Series B | WestBridge Capital, Sashi Reddi | WestBridge Capital |
| 20 Sep 2024 | Kaleidofin | Fintech | Fintech SaaS | B2B | $13.8 Mn | – | Rabo Partnerships, Michael & Susan Dell Foundation, Oikocredit, Omidyar Network India, Flourish Ventures. | Rabo Partnerships |
| 19 Sep 2024 | Vahan.ai | Enterprisetech | Horizontal SaaS | B2B-B2C | $10 Mn | Series B | Khosla Ventures, Y Combinator, Gaingels, Vijay Shekhar Sharma | Khosla Ventures |
| 18 Sep 2024 | DailyObjects | Ecommerce | D2C | B2C | $10 Mn | Series B | 360 ONE Asset, Roots Ventures | 360 ONE Asset |
| 19 Sep 2024 | NowPurchase | Ecommerce | B2B Ecommerce | B2B | $6 Mn | – | Info Edge Ventures, Orios Ventures Partners, 100 Unicorns, Venture Catalysts, Dholakia Ventures, Real Ispat Group, Subhrakant Panda, Ankur Warikoo | Info Edge Ventures |
| 20 Sep 2024 | Elivaas | Travel Tech | Accomodation | B2C | $5 Mn | Series A | 3one4 Capital, Peak XV Partners | 3one4 Capital |
| 18 Sep 2024 | Schmooze | Media & Entertainment | Social Media & Chat | B2C | $4 Mn | Series A | Elevation Capital | Elevation Capital |
| 18 Sep 2024 | AltiusHub | Enterprisetech | Vertical SaaS | B2B | $2.3 Mn | Seed | Endiya Partners | Endiya Partners |
| 19 Sep 2024 | GalaxEye | Deeptech | Spacetech | B2B | $2 Mn | Series A | Infosys | Infosys |
| 18 Sep 2024 | Bluecopa | Fintech | Fintech SaaS | B2B | $1.8 Mn | pre-Series A | Blume Ventures, Dallas Venture Capital, Venture Catalysts | – |
| 17 Sep 2024 | Alpino | Ecommerce | D2C | B2C | $1.2 Mn | – | Shilpa Shetty, Paresh Ghelani | – |
| 18 Sep 2024 | Techjockey | Ecommerce | B2B Ecommerce | B2B | $885K | – | Rishabh Pant | Rishabh Pant |
| 18 Sep 2024 | Billion Hearts Software Technologies | Consumer Internet | – | B2C | $250K | – | – | – |
| 19 Sep 2024 | Bookmybai | Consumer Services | Hypelocal Services | B2C | $240K | pre-Series A | Inflection Point Ventures | Inflection Point Ventures |
| 18 Sep 2024 | Ticket9 | Consumer Services | Hyperlocal Services | B2C | – | – | Nayanthara, Vignesh Shivan | – |
| 16 Sep 2024 | Salt Oral Care | Ecommerce | D2C | B2C | – | Seed | Kunal Chedda, Viraj Doshi, Nisha Sancheti | – |
| Source: Inc42 *Part of a larger round Note: Only disclosed funding rounds have been included |
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Key Startup Funding Highlights Of The Week
- Solely at the behest of the mega funding round raised by Physics Wallah, edtech emerged as the sector which saw the most funds pouring in.
- Trailing edtech in terms of funding at a sectoral level was enterprisetech. Startups in the space raised $46.3 Mn via three deals.
- Fintech also saw a similar number of deals materialise, with startups raising $45.6 Mn via three deals.
- However, ecommerce saw the highest number of deals materialise this week with startups raising $18.1 Mn via five deals.
- WestBridge Capital and Venture Catalysts emerged as the most active investors this week, backing two startups apiece.
- Despite the increase in overall funding, seed funding plunged during the week. Startups at this stage raised $2.3 Mn, a fraction of the $24.9 Mn raised during the past week.
Startup Fund Launches Of This Week
- Early-stage venture capital (VC) firm Capital A launched its Fund II with a target corpus of $48 Mn (INR 400 Cr) to back 17 to 20 startups.
- Early stage VC firm z21 Ventures launched its second fund with a target corpus of $40 Mn. It announced the first close of the fund at $20 Mn (INR 167 Cr).
Mergers and Acquisitions This Week
- Listed travel tech startup EaseMyTrip will be acquiring 30% stake in healthcare services provider Rollins International Private Limited for INR 60 Cr ($7.15 Mn) and 49% stake in Pflege Home Healthcare Center LLC for INR 30 Cr ($ 3.5 Mn).
- Fintech startup Stockal has bought fintech company Acru in a stock deal to offer a complete solution for cross-border investments.
- BSE SME-listed fintech startup Veefin Solutions acquired a 26% stake in EpikInDiFi in a share swap deal which valued the latter at INR 125 Cr.
Other Developments Of The Week
- Ahead of its IPO, Madhuri Dixit and Innov8’s founder Ritesh Malik have picked up stakes worth INR 1.5 Cr apiece. Besides, insulators manufacturer Modern Insulators also purchased stakes by investing INR 5 Cr in Swiggy. The startup is likely to reveal its IPO papers to the public this weekend.
- B2B ecommerce platform Infra.Market is eyeing a fresh fundraise of $150-200 Mn from existing investors, including Tiger Global, Foundamental and Evolvence.
- B2B fintech startup M2P Fintech is in talks with Helios Investment Partners to pick $80 Mn in new funding round at a valuation of $800 Mn.
- Healthtech startup Qure.ai is looking to raise around $50-60 Mn in a funding round expected to be led by Lightspeed.
- Ayurvedic nutrition brand Kapiva is eyeing the raise of $40 Mn from existing investor OrbiMed to expand its operations and enhance market presence.
- Deeptech startup Proxgy is in advanced stages of discussion to raise around $5 Mn in its Series A funding round from Gruhas Capital, actor Suniel Shetty and Manish Patel.
