Major Funding Boost for Indian Startups

Among the growth-stage deals, seven startups secured around $207.2 million in funding last week. Microfinance firm Annapurna Finance secured the highest funding of $72 million…reports Asian Lite News

More than $239 million was raised by 26 Indian startups in funding last week, which includes nine growth-stage deals and 15 early-stage deals.

Two early-stage startups did not disclose the amount raised, reports Entrackr.

In the week of May 6-11, around 24 early and growth-stage startups collectively raised nearly $320 million in funding.

Among the growth-stage deals, seven startups secured around $207.2 million in funding last week. Microfinance firm Annapurna Finance secured the highest funding of $72 million.

This was followed by battery tech startup Battery Smart, Propelld, which provides education loans to borrowers via online channels, and ambulance service provider Red.

Health and manufactures drones for applications in agriculture, defence, and enterprise sectors Dhaksha, which raised $45 million, $25 million, $20 million, and $18 million, respectively.

Moreover, 15 early-stage startups secured funding worth $32.5 million last week.

Domestic aggregator providing end-to-end cold-chain solutions Celcius Logistics topped the list, followed by mobility and energy solutions startup Matel, authentication and access management platform OTPless, marketing SaaS (software-as-a-service) platform, and sports tech company Stupa Sports.

The list of early-stage startups also includes — Duro Green and Trezi, which kept the funding amount undisclosed.

City-wise, Bengaluru-based startups led with nine deals, followed by Delhi-NCR, Chennai, Mumbai, Hyderabad, Ahmedabad, and Bhubaneswar, among others.

Meanwhile, Reacting to Prime Minister Modi’s interview with NDTV channel where he mentioned more than 1.25 lakh startups and over 100 unicorns that have given lakhs of jobs to youth, the founders said that initiatives like tax breaks and business simplification reforms by the government have supported an environment, in which new ideas flourish and business grows.

“Such measures have led to an increase in foreign direct investment and made it possible for new startups in areas such as electric vehicles (EVs) and solar batteries like ours to operate successfully and help contribute towards achieving sustainability in the country,” V G Anil, CEO of Pune-based energy-tech startup ARENQ, told IANS.

The combined value of the Indian startup ecosystem in terms of valuation is estimated at over $450 billion, according to industry experts.

Karan Desai, Founder of Interface Ventures, said that this growth has been possible due to several key driving factors, such as a conducive environment for startups to grow and thrive in the country, encouraging the spirit of entrepreneurship and business within people at a fairly young stage, and others.

He noted that the government’s efforts, such as the Startup India initiative, have contributed to the ecosystem’s success.

According to Ankit Aggarwal, Founder and CEO of Delhi-based HRtech startup Unstop, the government has initiated about 217 incubation centres that have the approval of close to about Rs 841 crore.

“In the Atal Incubation Mission, we had close to about 3,500 startups that were incubated in about 72 Atal Incubation centres across India,” Aggarwal told IANS.

He further added that every state will soon have multiple startups and unicorns with amazing business models and innovation, which will take on the world by surprise.

In the interview, PM Modi said these new emerging sectors like gaming and space have created a talent pool in the country, especially from small towns and cities.

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