Indian Startup Funding Jumps 57% to $205.31 Million Across 30 Deals

India’s startup ecosystem recorded a sharp rebound in funding activity this week. Between August 4 and 9, 2025, startups collectively raised $205.31 million across 30 deals, marking a 57% surge compared to last week’s $130.49 million. The growth was fueled by a mix of large growth-stage rounds and consistent early-stage deals, signaling renewed investor confidence in scalable and sustainable business models.

According to the TICE Startup Funding Index, Entrackr data shows 6 growth-stage, 22 early-stage, and 2 undisclosed deals. In comparison, Inc42 tracked $197.4 million across 24 deals during the same period, with reporting differences due to cutoff dates. Both sources agree that funding activity was concentrated in e-commerce, fintech, gaming, and AI—sectors that continue to attract significant investor interest in India.

Growth-Stage Funding Leads the Charge

Growth-stage startups collectively raised $139.28 million, accounting for nearly 68% of the total weekly funding. The largest deal went to The Sleep Company, which secured $56 million in its Series C round, a mix of primary and secondary capital, to fuel product innovation and international expansion.

Other notable deals included:

• Renee Cosmetics – $30 million in a growth round led by Playbook, aimed at expanding its beauty product portfolio and offline presence.
• Fibe Lending Arm – $26.5 million (₹250 crore) in debt financing to scale its lending operations.
• SuperGaming – $15 million in a Series A round to accelerate development of its flagship gaming titles and infrastructure.
• Zype – ₹90 crore (~$6.3 million) in a mix of debt and equity to grow its digital lending platform.

Early-Stage Startups Show Steady Momentum

Early-stage companies maintained strong momentum, raising close to $66 million across diverse sectors such as aerospace, AI, HR-tech, and cybersecurity.

Key early-stage deals included:

• Jeh Aerospace – $11 million (Series A) led by Elevation Capital, focusing on aerospace innovation and manufacturing.
• DPDZero – $7 million for its AI-powered debt collections platform targeting the BFSI sector.
• TurboHire – $6 million to enhance its AI-driven recruitment platform for global markets.
• Mitigata – $5.9 million for its cyber resilience and risk management solutions.

Sectoral & Geographic Trends

• Sectors: E-commerce led with six deals, followed by fintech with four. Gaming, AI, and HR-tech also saw significant traction.
• Cities: Bengaluru continued its dominance with 11 deals, followed by Mumbai with four. Hyderabad, Delhi NCR, Pune, and Surat also contributed to the week’s activity.

Key Corporate Developments

• Reliance Writes Off Dunzo Investment – ₹1,645 crore ($200M) fully written off after Dunzo’s shutdown in January 2025.
• Bluestone IPO Update – Fresh issue size reduced to ₹820 crore; total issue size now ₹1,540 crore. Listing set for August 19.
• Navi Rebrands – Navi Technologies Limited is now Navi Limited, reflecting its broader financial services scope.
• iServeU–Central Bank of India Partnership – Secured a $10M+ contract for UPI soundbox deployment and merchant tech solutions.
• Zepto Pharmacy Launch – Rolled out 10-minute medicine delivery in Mumbai, Bengaluru, Delhi NCR, and Hyderabad.

Investor Outlook

India continues to be a standout market for global venture capital, with this week’s data indicating a strategic shift toward early-stage investments and a decline in mega-rounds. Investors are showing a preference for AI-driven solutions with tangible real-world applications, strong unit economics, and long-term revenue potential over lofty unicorn valuations.

This selective investment trend reflects a maturing ecosystem where capital is being deployed more strategically, balancing growth potential with operational sustainability. As funding spreads across sectors and cities, the Indian startup ecosystem appears to be entering a phase of disciplined growth, setting the stage for steady innovation and sustainable scaling in the coming quarters.