VCs Bet Big on Indian Startups: $375M+ Raised, M&As & IPO Frenzy!
Modi, AI & Millions: How India’s Startups Are Winning Big in 2025!
February isn’t just bringing warmer days—it’s bringing the heat to the Indian startup ecosystem! The second week of February 2025 has been nothing short of electrifying, packed with big-ticket funding, high-stakes global meetings, and major industry shake-ups.
At the center of it all, Prime Minister Narendra Modi’s power-packed international visits took headlines by storm. From leading breakthrough AI discussions at the Paris AI Summit 2025 to strengthening ties with President Donald Trump in the U.S., these visits have paved the way for game-changing collaborations. With AI, innovation, and startup policies taking center stage, Indian entrepreneurs have plenty to look forward to.
India’s Startup Funding Rebounds—And How!
After a slow start to the month, venture capital (VC) funding roared back to life, with startups raising between $270 million and $375.52 million in just one week. That’s a massive surge—and a clear sign that investor confidence is returning.
According to YourStory, funding skyrocketed to $323 million across 30 deals, up from just $80 million the week before. Early-stage startups stole the spotlight, grabbing 24 out of 30 deals—a trend expected to continue all year. Meanwhile, mergers and acquisitions (M&A) kept the ecosystem buzzing, with semiconductor startup Kinara being acquired by NXP and two senior partners exiting Peak XV (formerly Sequoia India).
Fintech & Enterprise Tech Lead the Charge
The funding momentum didn’t stop there. INC42 reported a staggering 116% jump in startup funding, with $270.2 million raised across 22 deals. Fintech dominated the charts with $136.2 million, followed by enterprise tech ($81.9 million) and e-commerce ($8 million).
Seed-stage startups also had a stellar week, raising $10.9 million—a 35% increase week-on-week. The M&A space saw exciting moves too: KiranaPro acquired Joper.app, and Veefin Solutions snapped up White Rivers Media for $16.7 million. Meanwhile, IPO buzz is building, with Zetwerk preparing for a $400-500 million listing and Urban Company transitioning into a public entity—clear indicators that 2025 could be a big year for startup IPOs.
The Kredible Take: $375.52 Million & 32 Deals in One Week
Backing up the funding wave, Kredible reported that startups collectively raised $375.52 million across 32 deals, a 2.7X jump from the previous week’s $137 million.
Growth-stage startups raked in the big bucks, with:
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ToneTag raising $78 million
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SpotDraft securing $54 million
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Zeta bagging $50 million, hitting a $2 billion valuation
Meanwhile, early-stage startups weren’t far behind, with Lucidity leading the way with a $21 million Series A round, followed by BorderPlus, Boldcare, and CapGrid Solutions.
On the city front, Bengaluru dominated funding rounds with 15 deals, while fintech remained the hottest sector with five major rounds.
Big Leadership Moves & Industry Shake-Ups
It wasn’t just about funding—major leadership changes made waves too.
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Navi appointed Rajiv Naresh as CEO of Navi Technologies and Abhishek Dwivedi as CEO of Navi Finserv, while Sachin Bansal transitioned to executive chairman.
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EV manufacturer Euler Motors brought in Ashish Tandon as Global Head of Customer Excellence.
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In a surprise move, actor Pankaj Tripathi co-founded audio platform Velevet.
On the flip side, Peak XV saw two managing partners step down, along with a key departure at Swiffy Labs.
What’s Next? A Startup Spring Like Never Before!
With funding back on track, IPOs in the pipeline, and fintech continuing to dominate, February is shaping up to be a defining month for Indian startups. As nature blooms, so does the next wave of innovation and entrepreneurship.
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