From Pocket FM to Ultrahuman — Indian Startups Raised $205 Mn This Week

Investment activity across the Indian startup ecosystem saw a marginal dip in the third week of March after an uptick. Between March 18 and 23, startups cumulatively raised funding of $204.84 Mn across 14 deals, a 10% drop from $226.2 Mn across 18 deals in the preceding week. 

The week also saw audio entertainment platform Pocket FM raising $103 Mn in its Series D funding round from Lightspeed and Stepstone Group. Besides, the company is also in talks with Abu Dhabi Investment Authority (ADIA) for a fresh fundraise which will likely value it at around $1.2 Bn.

Funding Galore Indian Startup Funding Of The Week [Mar 18- Mar 23]

Key Startup Funding Highlights Of The Week

• Pocket FM logged the largest-ticket transaction this week.
• Media and entertainment became the most funded sector this week, catapulted by Pocket FM’s $103 Mn funding. To be sure, the space saw a cumulative investment of $108.25 Mn across two deals. 
• Ecommerce saw a maximum number of funding deals this week, with startups operating in the space bagging $54.14 Mn via four deals.
• Early stage startups raised $19.25 Mn this week largely driven by seed funding rounds. This is a 326% increase from last week’s $5.9 Mn.
• Nexus Venture Partners emerged as the most active investor this week, writing cheques for Liquidnitro Games and Ultrahuman.

Startup IPO Updates

• The initial public offering (IPO) of SaaS cybersecurity startup TAC Infosec, also known as TAC Security, will kick off on March 27. The startup is looking to raise $3.5 Mn from its public debut.
• Fintech SaaS company Trust Fintech Limited’s IPO is set to open on March 26. The company plans to net INR 63.45 Cr from the public offering.

Other Major Developments From The Indian Startup Ecosystem

• US-based venture capital (VC) firm Alphatron Capital (formerly SMK Ventures) closed its maiden fund at $30 Mn. The fund will majorly invest on startups across SaaS, fintech, healthtech, AI/ML, digital content and D2C sectors.
• Fintech-focused VC Cedar Capital has marked the first close of its $30 Mn FinTech Venture Capital fund. It aims to back around 15 early stage startups in the fintech space.
• VC firm B Capital has announced the close of its ‘Opportunities Fund II’ at $750 Mn. The fund received commitments from both existing and new investors, including private and public pension funds and family offices, among others.
• Edtech startup Toprankers has acquired the judiciary arm of Lucknow-based Coach Up IAS. However, the startup did not disclose the financial terms of the deal.
• Investment fund Malabar Investments is seeking a stake in SUGAR Cosmetics via secondary deal worth $9 Mn- $12 Mn.
• The Good Glamm Group is in final stages of discussion to close a $70 Mn funding round as it gears up to go public next year, sources told Inc42. 
• After a 13-year stint, Nexus Venture Partners’ Managing Director Sameer Brij Verma has stepped down to float his own investment fund majorly focussed on early stage startups. 
• Delhi NCR-based used car marketplace, Spinny, is expanding its ESOP pool by granting an additional 24 Mn options.