Indian Startups: $132M Funding Secured Amidst Slowdown
Indian startup team collaborating in a sunlit office.
Key Highlights
Indian startups secured $132M in funding this week across 18 deals, a 62% drop. Ecommerce & Fintech led. Seed-stage funding decreased. IPO filings by Garuda Aerospace, Zetwerk, Rediff.
Indian startup funding experienced a slowdown in the first week of April amid increasing geopolitical tensions. From March 30 to April 3, startups collectively raised $131.5 million across 18 deals. This represents a 62% decrease from the $348.2 million secured through 25 deals the previous week.
Ecommerce emerged as the leading sector in terms of funding, with three startups amassing a total of $50.5 million from investors including Xponentia Capital, Bajaj Finserv, and Lakme Finance. The Fintech segment also witnessed significant activity, as Bachatt, Navanc, and CredResolve collectively garnered over $13.1 million in funding.
Seed-stage startups saw $2.2 million invested across three deals, a 27% decrease compared to the prior week. Info Edge Ventures was the most active investor during the week, participating in four funding rounds.
In other developments, Garuda Aerospace, Zetwerk, and Rediff have filed for initial public offerings (IPOs) through the confidential route. Bajaj Finserv is considering launching a private equity fund focused on AI startups and plans to directly invest in early-stage AI startups using its balance sheet. RedTape parent Mirza International’s MD Tauseef Mirza acquired D2C brand Solethreads in an undisclosed financial transaction. Fintech unicorn Dhan is reportedly in discussions to acquire Bengaluru-based Infinyte Club to expand into the wealthtech sector, with the acquisition potentially valued at around $10 million. Zaggle’s board has approved an investment of approximately ₹50 Cr in its acquired fintech startup Rio.Money. Nazara is in talks to raise around $100 million in a pre- round, according to cofounder Akshat Rathee.