What Factors Contributed to the Record $161 Million Raised by Indian Startups in May 2024?

Indian Startup Ecosystem Funding Highlights for May 2024

In the first week of May 2024, the Indian startup ecosystem witnessed a robust start, securing over $329 million across 27 deals. However, the second week did not surpass the first week’s funding achievements.

Similarly, the third week also did not exceed the funding milestones of both the first and second weeks. Collectively, Indian startups raised more than $517 million over the first two weeks of May.

Between May 13 and May 18, 2024, 23 startups from various sectors raised over $161 million in funding. These sectors include healthcare, lending, SaaS, robotics, astrology, B2B, GenAI, logistics, and sportstech.

Unlike merger and acquisition deals, which often do not disclose financial details, these funding rounds highlight the sectors that are capturing growing investor interest.

High-Value Deals

This week saw substantial investments across diverse sectors, with battery technology and lending at the forefront. Battery Smart and Propelld led these sectors, securing $45 million and $25 million, respectively.

The healthcare sector also experienced significant funding activity, highlighted by Red.Health’s $20 million Series B funding round.

Additionally, drone startup Daksha and robotics startup Niqo Robotics collectively raised $31 million. Daksha secured $18 million, while Niqo Robotics raised $13 million in a Series B round.

Emerging Startups

Several emerging startups have garnered significant traction with the funding community.

C2C consulting marketplace Sprect raised the smallest amount, securing $60,000, followed by Raho Hospitalities with $230,000. Madras Mandi collected $350,000, and B2B startup Beyobo raised $800,000.

SaaS startup Infurnia and FSSAI-certified Paan startup Betel Leaf each raised $1.2 million. Insurtech startup BimaPay secured $2 million, while astrology startup InstaAstro raised $2.2 million.

RO water supply startup DrinkPrime gathered $3 million, and sportstech startup Stupa Sports Analytics raised $3.3 million. GenAI startup Highperformr and OTPless, founded by former BharatPe executives, both raised $3.5 million.

Supply chain startup 3SC secured $4 million, while lending startup Rupeek raised $6 million. All these startups raised funds during their pre-Series A and seed funding rounds.

Additionally, mobility startup Matel and co-working company Stylework raised $4 million and $120,000, respectively, in their Series A funding rounds. Meanwhile, Celcius Logistics secured $4.8 million in a Series B round, while cleantech startup Duro Green kept its figures undisclosed.

Merger and Acquisition Highlights

This period witnessed significant strategic mergers and acquisitions. Niyogin Fintech Ltd., a prominent player in the MSME-focused fintech sector, acquired Superscan, an AI-powered document imaging, automation, and fraud detection platform, from Orbo.ai.