Two technicians in a large data center with rows of servers
Indian startups experienced a significant funding week, securing a total of $426 million across 19 deals between June 15 and June 19. This marks a notable increase from the previous week’s $243 million raised over 25 deals.
The week’s funding activity was largely propelled by Sarvam, an AI startup, which closed a substantial $234 million Series B round. This round, one of the largest ever for an Indian AI firm, positioned the AI sector at the forefront of investment this week.
Key Funding Rounds and Sector Performance
Following Sarvam’s lead, the AI sector attracted over $265 million from five startups. Cleantech also saw significant investment, with SolarSquare raising $53 million in its Series C round and Karo Sambhav securing $5.9 million in its Pre-Series A funding, bringing the total for the sector to $58.9 million.
Other notable funding rounds include SolarSquare’s $53 million Series C, Vetic’s $40 million raise, and TruNativ’s $30 million Series B. Seed-stage funding saw a dip, with only $7.8 million raised across five deals, a decrease from $22.3 million in the prior week.
Among investors, Khosla Ventures and Rainmatter were the most active, each participating in three deals. Bessemer Venture Partners also showed strong activity, investing in two companies.
Startup Ecosystem Developments
In other developments, Jio Platforms filed its draft red herring prospectus (DRHP) with SEBI for its upcoming IPO. Meanwhile, e-commerce unicorn BRND.ME (formerly Mensa Brands) converted to a public limited company, signaling its intent for an IPO within the next 18 months.
The venture capital landscape also saw activity, with HealthQuad marking the first close of its Fund III at ₹550 crore, aiming to invest in 13-15 healthtech startups. In mergers and acquisitions, L’Oréal has agreed to acquire a majority stake in beauty and personal care startup Innovist.
Additionally, Meta is reportedly in discussions to invest in or acquire fintech unicorn CRED at a valuation of approximately $4 billion. The International Finance Corporation (IFC), the World Bank’s private lending arm, committed $371 million to Sify Technologies’ subsidiary for developing two AI-ready data centers.
Veefin Solutions’ board approved plans for its stock to migrate from the BSE SME platform to the main board of BSE, with a simultaneous listing on the NSE also under consideration.
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