India — Startup funding jumps 42% during Jan-July 2024; deal count sees modest rise
Among the top funding deals during the period were Zepto’s $665 million, $300 million raised by Meesho, $216 million by PharmEasy, and $120 million by bike-taxi startup Rapido, according to GlobalData.
Signs of funding winter wearing off are beginning to appear in the Indian startup ecosystem. According to the latest data on venture capital funding for the period January-July 2024 by analytics company GlobalData, Indian startups saw a significant 42 per cent surge in VC funding with a total of 672 deals raising $6.3 billion in comparison to the year-ago period.
During January-July 2023, Indian startups raised $4.4 billion across 664 VC deals. The deal volume, however, saw a modest rise.
“The massive jump in funding value, despite a modest 1.2% growth in deal volume, can be attributed to some of the big-ticket deals announced during the review period. This also proves that even though VC investors remain cautious there is no dearth of money for promising startups,” said Aurojyoti Bose, Lead Analyst, GlobalData.
The top deals during the period were quick commerce startup Zepto’s $665 million funding, $300 million raised by online shopping and reselling portal Meesho, $216 million by online pharmacy PharmEasy, $150 million by renewable energy firm Radiance, $148 million raised by NBFC Kogta Financial and $120 million worth funding raised by bike-taxi startup Rapido, according to the GlobalData.
Indian deal volume and deal value during the January-July period this year were 7 per cent and 4.3 per cent of the global VC funding landscape.
“Despite global economic uncertainties, India remains a pivotal market for VC activity, driven by a robust pipeline of promising startups that continue to attract significant capital. This trend reinforces India’s position as a critical player in the global venture ecosystem, demonstrating resilience and growth even amid cautious investment sentiment,” said Bose.
VCs had invested $2.3 billion in Indian startups during the first quarter of 2024, down 3.1 per cent year-on-year from $2.4 billion in Q1 2023, as per GlobalData.
