Indian Startups Raise $130 Million in a Week as Deal Count Nearly Doubles to 32, With Healthtech, Gaming and D2C Brands Leading

Indian startups closed more funding deals this week than in the previous week, but raised less money overall, reflecting a market in which investors are writing more, smaller cheques to early-stage companies while large growth rounds remain scarce.

Indian startups raised $130.2 million across 32 deals between October 26 and October 30, down 29.2% from $184 million raised the previous week, according to Inc42's weekly funding report published on Saturday, October 31. The number of deals rose to 32 from 17.

A separate weekly report from Entrackr, which uses slightly different methodology, put the total at about $115 million across 28 deals, with growth-stage startups raising $42.34 million and early-stage startups $72.25 million.

The largest deals

Preventive healthcare startup Cent led the week with a $15 million Series A round co-led by Blume Ventures and South Park Commons, with angel investors including Arun Sarin and Srinivas Narayanan.

AI inference platform Simplismart raised $14 million in a Series B led by Dallas Venture Capital, with Nvidia, Accel, Shastra VC and Micromax participating. AI-powered social commerce company Live2.ai raised ₹130 crore (about $13.7 million) in a pre-Series B round from IvyCap Ventures.

Kids' snack brand Troovy raised about ₹100 crore in a Series B led by Fireside Ventures with Sharrp Ventures, while social gaming startup Matiks raised $10 million in a pre-Series A led by General Catalyst, with Ronnie Screwvala, Info Edge Ventures, Tanglin Venture Partners and Untitled Ventures participating.

Nutrition brand Ace Blend raised $9.9 million in a Series A2 round led by 3one4 Capital, and life sciences startup BioStack raised a $9.5 million seed round backed by Peak XV, Y Combinator and others. Luxury watch brand Rotoris raised about ₹70 crore in a Series A led by Blume Ventures.

Sector trends

Ecommerce and direct-to-consumer brands led by deal count, with nine startups raising $33.4 million, according to Inc42. Artificial intelligence was second, with five startups raising $30.4 million.

The prominence of consumer brands reflects continued investor interest in companies that can build loyal customer bases through e-commerce, quick commerce and offline retail. Nutrition, health and children's food brands have been particularly popular, as consumers increasingly focus on health and ingredients.

AI remains a priority for investors, with funding going both to infrastructure companies such as Simplismart and to application-layer startups.

Most active investors

Blume Ventures and Antler were the most active investors of the week, with three deals each, according to Inc42. Blume backed Cent, Rotoris and QwikBuild, while Antler participated in several early-stage rounds.

Early-stage investors have been particularly active in India this year, as many have raised new funds and are deploying capital into seed and Series A rounds. Growth-stage funding, by contrast, has been more selective, with investors focusing on companies with clear paths to profitability.

Geography

Bengaluru led with 14 deals, followed by Delhi-NCR with five and Mumbai with three, according to Entrackr. Bengaluru's dominance reflects its position as India's leading startup hub, with a deep pool of engineering talent, experienced founders and investors.

Deep-tech interest

The week also saw funding for deep-tech startups. Spacetech company Manastu Space raised ₹22 crore for green satellite propulsion, semiconductor startup Nova Spectral AI raised a seed round led by Shastra VC, and underwater robotics firm Coratia Technologies raised funding to support an Indian Navy contract. Robotics startup Tensrai and manufacturing startup Venttup, backed by Zerodha's Rainmatter, also raised early rounds.

The rise of deep-tech investment reflects government support for sectors such as space, defence, semiconductors and advanced manufacturing, as well as investor interest in companies building intellectual property.

Other ecosystem news

Beyond funding, the week saw several developments. The Securities and Exchange Board of India approved Atomberg's proposed IPO, according to Inc42, adding to the pipeline of startup listings. Freshworks acquired Israeli AI startup Robusta, and Unacademy co-founders Gaurav Munjal and Roman Saini were reported to be raising a ₹700 crore fund for AI and deep-tech startups.

Jio Platforms' listing at a 21% premium during the week also boosted sentiment in India's public markets, which have become an important exit route for startup investors.

The bigger picture

Weekly funding totals can be volatile, as a single large deal can significantly change the figures. Over the longer term, Indian startup funding has stabilised after a sharp decline from the record levels of 2021 and 2022. Investors are more disciplined about valuations and profitability, while public market listings have provided exits for many startups.

The valuation reset

Indian startup valuations have adjusted significantly since the peak of 2021, when many companies raised money at valuations that later proved unsustainable. Several high-profile startups have seen their valuations marked down by investors, while others have raised down rounds or struggled to raise money at all. This week, two Baillie Gifford funds were reported to have marked down their holdings in VerSe Innovation by up to 80%, according to Inc42, illustrating the continuing reassessment.

At the same time, profitable and fast-growing companies continue to attract strong interest, and public market listings have provided a valuation benchmark that private investors increasingly use.

The role of new funds

New funds launched by experienced founders and venture capitalists are adding to the capital available for early-stage startups. The reported ₹700 crore fund being raised by Unacademy's co-founders is one example of founders turning investors, a trend that has grown as India's startup ecosystem has matured. Such founder-led funds often bring operational experience and networks that can benefit young companies.

A maturing ecosystem

India is now one of the world's largest startup ecosystems by number of startups and unicorns. While funding has become more selective, the number of experienced founders, operators and investors has grown significantly, creating a stronger foundation for future growth. The rising number of startups listing on stock exchanges is also creating a new generation of public market investors who understand technology businesses.

What comes next

The coming weeks are likely to bring more funding announcements as investors deploy capital before the end of the calendar year. Investors will be watching whether larger growth-stage rounds return, which would signal improving confidence, and whether AI and deep-tech continue to attract a growing share of capital.

Founders, meanwhile, continue to adapt to a market in which investors expect clear paths to profitability, strong unit economics and disciplined spending, a shift that many in the ecosystem see as healthy for the long-term sustainability of Indian startups even if it means slower growth for some.