Indian Startups Raised Investment More Than $7 Billion

According to a Nasscom-PGA Labs analysis, Indian startups raised more than $7 billion in investment in the fourth quarter of 2021 (October-December), up 18% from the third quarter, and 14 of these startups joined the ever-growing unicorn club. Unicorns are firms with a market valuation of $1 billion or more that are privately held.

As per the data, the number of agreements concluded in the October-December quarter climbed by 52 percent to 184, up from 121 in the previous quarter. Fintech and retail tech was the most well-funded industries, contributing 24% and 23% of total transaction value in the reporting quarter, respectively.

“Fintech’s history and presence in the startup world are both increasing. Because of its rising infrastructure stack, innovative solutions, and new business models, this industry will continue to be in the focus.” The retail tech and banking areas accounted for six of the 14 unicorns added in the quarter, according to the analysis.

According to the Nasscom-PGA analysis, the increase in online shopping was fueled by widespread digital adoption in the country as a result of the ongoing health crisis.

Cars24, an online marketplace for used automobiles, raised $400 million in the quarter, followed by Razorpay ($375 million), PharmEasy ($350 million), Nykaa ($300 million), and Spinny ($283 million), according to the newspaper.

Growth-stage capital contributed for 56 percent of overall transaction value, but just 34 percent by deal count, according to the report.

Business-to-business (B2B) entrepreneurs funded more than $1.6 billion in 72 agreements, with a deal size of roughly $22 million on average. Razorpay, Zetwerk, and Ninjacart were the top-funded B2B businesses, according to the survey. While business-to-consumer (B2C) entrepreneurs raised over $5.6 billion in 112 transactions, with an average deal size of $51 million, the top-funded businesses in the industry were Cars24, PharmEasy, and Nykaa.