India may be faced with an uncertain economic environment after being ravaged by a deadly second wave of the COVID-19 pandemic, but that hasn’t deterred global and domestic investors from ramping up the pace and quantum of their investments into the Indian startup ecosystem.
According to YS Research, Indian startup funding is on track to hit record highs in H1 2021 and exceed 2020 levels. Startup investments in Jan-May 2021 were at $8.76 billion, up 80 percent from H1 2020 levels, and makes up nearly 81 percent of the total $9.94 billion raised in 2020.
The number of startup deals was up slightly by 4 percent to 441 in Jan-May 2021 from 424 deals in H1 2020. By comparison, the total number of deals in the whole of last year was 881.
This increase was largely driven by a surge in late-stage deals and a flurry of new unicorn additions — a record 14 new startups valued at over $1 billion — in just the first five months of 2021.
Among sectors, fintech saw some notable milestones this year, particularly the addition of five new unicorns as investments into the sector was the highest among industries at $1.83 billion.
Funding into foodtech majors Swiggy and Zomato also helped rack up a total of $1.05 billion in investments into the sector, making it a close second to fintech.
While edtech startup investments accounted for $891.8 million, ecommerce recorded $756.5 million, and healthtech $680 million. Read more.
(Infographic by Tenzin Pema)
Read all about how the Indian startup ecosystem is battling the second wave of COVID-19 here.
Here are some useful tools to help you find the nearest vaccine centres in real-time.
You can also share a tribute to COVID-19 warriors, saviours, and survivors here.
The Interview
Global SaaS logistics startup FarEye recently raised $100 million in its Series E round led by TCV and Dragoneer Investment Group to provide superior customer experience amidst the digital transformation of the logistics sector.
In a conversation, CEO Kushal Nahata deep-dives into the journey behind building a global end-to-end logistics startup from India, outlines the company’s expansion plans, and the road ahead.
Editor’s Pick: Kung Fu Nuns fight COVID-19 in the Himalayas
For some time now, the Kung Fu Nuns of the Drukpa lineage have been championing the cause of gender inequality, bringing a turnaround in the attitude of girls by not only teaching them martial art but also self-confidence.
Along with Live to Love, they are now providing critical relief aid and resources to neglected Himalayan communities in Ladakh, Lahaul-Spiti, and Kathmandu, who are particularly vulnerable due to lack of connectivity, poor health infrastructure, and other health issues. Read more.
Startup Spotlight
This retail tech startup is building a ‘Shopify’ in Indian languages for MSMEs
IIT-Roorkee alumni Amit Kumar and Indar Kriplani believed that “Bharat was adopting technology fast because customers wanted the comfort of online shopping.” This trend was, of course, accentuated by the pandemic, which forced offline businesses to go digital to survive.
In June 2020, the duo launched Shoopy, a full-stack retail tech solution to help MSMEs set up digital storefronts (app, website, landing page, etc.) in a jiffy, find and sell to local customers, and grow their business beyond existing channels. Read more.
News & Updates
Before you go, stay inspired with…
Bhavin Turakhia, co-founder and CEO, Zeta
“Fundraise is an input, not an outcome. It is an enabler for us to truly do what we want to do, and though it acts as an endorsement, it also brings the responsibility of delivering 10X the returns to our investors and partners.”
— Bhavin Turakhia, Co-founder and CEO, Zeta
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