Investor Moves of the Week (Aug 9–16): VC Inflows Into Indian Startups Gain Pace
Venture capital (VC) funding into Indian startups is showing signs of recovery, with a noticeable uptick in deal activity. In the second week of August (Aug 9–16), Indian startups raised $324 million across 27 deals, a sharp rise from the $214 million recorded in the previous week.
Meenu Rapria. 
This is a significant improvement compared to July, when weekly funding largely hovered around the $100-million mark.The week was marked by a handful of large-ticket transactions, with Truemeds, Zepto, and Darwinbox leading the pack.
Such high-value deals indicate that investor appetite remains intact for businesses with strong fundamentals, even though the broader macroeconomic environment continues to remain challenging.
The largest deal of the week came from epharmacy and telehealth platform Truemeds, which raised $85 million from Accel, Peak XV Partners, WestBridge Capital, and Info Edge Ventures.
Quick commerce unicorn Zepto secured ₹400 crore (approx. $45.6 million) from Motilal Oswal Financial Services, while SaaS startup Darwinbox closed a $40 million funding round from Teachers’ Venture Growth (TVG).
Other notable raises included:
Aragen Life Sciences: ₹300 crore (approx. $36M) from Avendus Future Leaders Fund III
Ultraviolette Automotive: $21M from TDK Ventures, Zoho Corporation, and Lingotto
Kimirica (D2C brand): $15M led by Carnelian Asset Management LLP
Pronto (quick services platform): $11M from General Catalyst, Glade Brook Capital, and Bain Capital Ventures
ELIVAAS (luxury vacation rentals): ₹87 crore (approx. $10.4M) from Vertex Ventures, Surge, and 3one4 Capital
Brandworks Technologies (hardware): $7M from Cactus Partners and others
Seeds Fincap (fintech): ₹50 crore (approx. $5.7M) from Z47, Lok Capital, Norinchukin Capital, and Alteria Capital
TplusA India (furniture brand): $5.5M from Livspace
FincFriends (fintech): ₹41.5 crore (approx. $4.7M) from IBL Finance and others
Market Outlook
While startup expectations are buoyed by this consistent rise in funding, investors remain cautious. The absence of mega-deals above $100 million—last seen in June with Udaan’s $114 million raise—suggests VCs are still adopting a selective approach.
On the fund-raising side, investor confidence remains strong. The week saw the launch of three new funds—from Lavni Ventures, Atomic Capital, and Speciale Invest—signaling long-term commitment to the ecosystem.
Meanwhile, the IPO market is also seeing traction. Jewellery brand Bluestone’s public issue was fully subscribed, and analytics firm Fractal Analytics announced plans to go public, reflecting investor optimism in the public markets.
Bottom line: The Indian startup ecosystem is witnessing steady momentum, with mid-to-large funding rounds driving growth. While macro challenges persist, the consistent deal flow and new fund launches point toward cautious optimism in the months ahead.
