[Weekly funding roundup March 8-14] VC inflows stay on an upward trajectory
The month of March continues to bring good fortune for the Indian startup ecosystem, with venture capital funding on the upward curve for two weeks in a row largely due to a single large deal from neobank Zolve.
The total VC funding for the second week of March stood at $412 million cutting across 17 deals. In contrast the previous week saw a total amount of $361 million. Also, this week is the highest amount that the Indian startup ecosystem has raised in a single week for the year till now.
This steady increase in VC funding is a welcome relief for the ecosystem after the month of February saw a decline in capital inflow. This week saw the growth category of funding raising the highest amount of capital.
Given the current environment, it is anybody’s guess whether this trend will continue given the several macroeconomic challenges. The continuous decline in the stock markets and a slowdown in the economy will have a bearing on the VC inflow.
Though, it remains to be seen whether the current upward trend will continue in the weeks to come.
At the same time, the Indian startup continues to witness interesting developments. Edtech unicorn Physicswallah is preparing the road towards an IPO. Bessemer Venture Partners has raised a separate $350 million fund focused on India geography.
Key transactions
Neobank startup Zolve raised $251 million from Creaegis, HSBC, SBI Investment, GMO Venture Partners, DG Daiwa Ventures, Accel, Lightspeed Venture Partners etc.
Speciality chemicals startup Scimplify raised $40 million from Accel, Bertelsmann India, UMI, Omnivore and 3one4 Capital.
Purple Style Labs raised $40 million from SageOne Flagship Growth OE Fund, Alchemy Long Term Ventures Fund, Bajaj Holdings and Investment, and Minerva Ventures Fund.
AmpereHour Energy, an energy storage startup, raised $5 million from Avaana Capital, UC Impower and existing angel investors.
Backpacker hostel brand goSTOPS raised Rs 35 crore ($4.2 million) from Blume Ventures, 1Crowd, Mumbai Angels, Chennai Angels, Indian Angel Network etc.
