January 25, 2025: The week between January 20 and 25 saw Indian startups attract a combined $275.2 million in funding across 28 deals, signaling a slight downturn from the previous week’s $308.1 million. However, despite the dip, the Indian startup ecosystem remained robust, with the rise in seed-stage investments and new fund launches keeping the momentum going.
While the total funding saw a 10.7% decline, the diversity in sectors receiving investment and the strong performance of e-commerce and healthtech highlighted key trends in the market.
Indian Startups Funding This Week” E-commerce Takes the Lead with Infra.Market’s $121 Million Raise
One of the week’s most significant funding rounds came from Infra.Market, which secured $121 million in its Series F round. This round was led by investors including Tiger Global, Nuvama, and Abhijit Pai, which helped drive Infra.Market’s valuation up to $2.8 billion—a 10% increase. This massive funding round has contributed to making e-commerce the most attractive sector for investors this week, with five e-commerce startups raising a total of $143 million in six deals.
Healthtech Attracts Attention with Seed-Stage Support
Healthtech also garnered considerable attention as Indian Angel Network emerged as the most active investor of the week. The network backed two healthtech startups, SVASTEK and Prantae Solutions, both at the seed stage. These investments reflect growing investor confidence in healthcare innovation, particularly in early-stage companies.
The number of seed-stage deals was notable, with ten startups raising $31.2 million this week, demonstrating that investors are still eager to support new ventures in a range of industries, from healthcare to AI.
Venture Funds Bolster Startup Ecosystem with New Launches
While funding rounds remained steady, several venture funds announced fresh initiatives to support early-stage startups. SamVed, a new venture capital fund, launched a $50 million corpus focused on sectors such as AI, agritech, and fintech. Similarly, Eximus Ventures introduced its second fund with a target of $30 million, planning to invest in 25-30 startups in fintech, AI, and SaaS.
The week also saw Kotal Alternate Asset Managers close the first stage of its life sciences fund at $29 million, and Bharat Value Fund raised $144 million for its third fund, aimed at mid-market, high-growth companies.
Other Key Developments
- IIFL Fintech Fund marked the final close of its second fund at $23 million, focusing on GenAI-driven fintech startups.
- Investment Focus: Major investments this week were seen across e-commerce, healthtech, AI, fintech, and life sciences—sectors that are expected to continue attracting investor attention in the coming months.
- Seed Investments: Seed-stage deals saw a marked increase, with 10 startups raising $31.2 million—a clear sign that investors are actively nurturing early-stage innovation.
Key Highlights:
- Total Funding Raised: $275.2 million
- Number of Deals: 28
- Sector Focus: E-commerce, healthtech, AI, fintech
- Seed-Stage Investments: $31.2 million raised across 10 startups
- Notable Investor: Indian Angel Network
While there was a slight decrease in the overall funding from the previous week, the Indian startup ecosystem is still seeing significant interest from investors. The diversity of sectors receiving attention this week, along with the continued focus on early-stage investments, paints a promising picture for the future of Indian startups.