A total of 883 venture capital (VC) funding deals with total disclosed funding value of $8.3 billion were announced in India during January to September (Q1-Q3) 2024. This marks a year-on-year (YoY) improvement of 7.3% in deal volume, while the growth in funding value stood massively high at 50.4%, according to GlobalData, a leading data and analytics company.
An analysis of GlobalData’s Deals Database revealed that India witnessed announcement of a total of 823 VC deals during Q1-Q3 2023 whereas the total disclosed funding value of these deals stood at $5.5 billion.
Aurojyoti Bose, Lead Analyst at GlobalData, states: “The challenge that the Indian start-up ecosystem faced in raising money in 2023 seems to be fading away as VC funding activity has continued to improve this year. Going by the trend, it is evident that India remains an attractive market for VC firms and it seems now there is a shift in investors’ approach from cautiousness to cautious optimism.”
Moreover, the growth in the number of big-ticket deals (valued more than or equal to $100 million) is also an indication of the fact that optimism among VC firms regarding the Indian startup ecosystem is reviving. The number of big-ticket VC deals announced in the country increased from 10 during Q1-Q3 2023 to 15 during Q1-Q3 2024.
Some of the notable VC funding deals announced during January-August 2024 include $665 million and $340 million raised by Zepto in two separate funding rounds, $300 million worth funding raised by Meesho, $216 million worth funding raised by PharmEasy, $210 million worth funding raised by PhysicsWallah, $173.5 million worth funding raised by OYO, and $150 million worth funding raised by Radiance, among others.
Bose adds: “It is also noteworthy that India, apart from being a key Asia-Pacific market standing just next to China, is also among the top five investment destinations globally for VC firms.”
India accounted for 7.2% share of the total number of VC deals announced globally during Q1-Q3 2024 while its share of the corresponding disclosed funding value stood at 4.5%.
