The month of April2024, saw Indian Start Up cheers as funding for various initiatives saw interest of investors despite challenges in global economic front. The country’s booming start up ecosystem inspired investors who saw opportunities in diversified sector s that include cloud based software’s, electric vehicals, fintech ,healthcare and wellness to deeptech.
The rise in funding happened because several start up is driven by a combination of renewed investor interest, market corrections and sustainable to innovative business models.
From record Indian startups raisd $164.02M in 21 deals across diverse sectors like EV, SaaS, fintech, D2C & more in the first week of April 2024.
Overall April 2024 the recorded investment that happened was $726 million in 68 deals, from $298 million in 43 deals in April of 2023 – a spike of about 144 %.The month also witnessed two significant mergers and acquisitions.
WOGOM acquired Ckart, while Fincare merged with AU Small Finance Bank. The acquisitions are more of strategic in nature indicating that Indian start up ecosystem is maturing, as companies look to scale and expand their market presence. As the month progressed we witnessed the momentum picking up in terms of investments.
Funding in startsup who are in growth stage and stage where they moved the growth stage saw funding. Comparatively after low months from January to march, April bought in cheers for the start up ecosystem.
Key Funding in April
As per data from analytics firm Venture Intelligence, there were 10 late-stage funding deals as against four in the same period last year.
MatchLog Solutions raised $1.5 million in pre-series A funding and Healthtech AI start-up Endimension Technology raised `6 crore in Pre-Series A round led by Inflection Point Ventures.
In the second week of April, AI cloud and platform-as-a-service start-up Neysa raised $20 million in Seed funding. Led by Matrix Partners India, Nexus Venture Partners, and NTTVC, it said the funding will help drive Gen-AI-cloud platform as a service and observability for India and global markets.
Control One AI, an AI-first robotics startup raised $350,000 from Kunal Shah (CRED), Chaitanya R (Wakefit) and Amit Singh (Ex-MD, Avendus Capital) and Silicon Valley-based supply chain executives from Tesla, Amazon, Walmart, eBay, Mercedes-Benz, and General Electric.
AiDash, an enterprise SaaS company, announced the official closing of its Series C funding at $58.5 million. Early-stage start-ups are seeing major fundings as Equirus InnovateX Fund (EIF) led seed investment round in Lithium Battery Ecosystem start-up PointO. EIF led the round with an investment of Rs 5 crore, from the Rs 6.2 crore raised in this round.
Early stage funding happened with 17 startups receiving funds worth $72.08 million during the week in April.
Omni-channel fashion brand Lyskraft spearheaded the list followed by space-tech startup Dhruva Space, real estate and infra decarbonization platform Accacia, B2C credit management firm CheQ, and an open-source project management platform Plane.
If we consider segment wise then fintech startups grabbed the top spot with five deals followed by SaaS startups. Also Seed funding deals led the list with 11 deals while Pre-Series A deals are at the second position with 6 deals, both collectively forming around 30% of the total funding.
This indicates Startups to be more scalable and have strong risk taking attitude. This will help navigating deeper into markets both domestic and international.
