After a subdued spell, the Indian startup ecosystem roared back to life in the final week of June 2025. A total of $278.3 million was raised across 22 deals, nearly tripling the funding from the previous week’s $91.5 million. From mega rounds in defence tech to exciting early-stage plays in fintech, ecommerce, and cleantech, the momentum clearly signals renewed investor interest heading into H2 2025.
Defence Tech Dominates the Week
The standout performer of the week was the advanced hardware and defence technology sector, which pulled in a total of $113.5 million. This surge was spearheaded by Raphe mPhibr, a drone technology startup, which secured a $100 million round led by General Catalyst, valuing the company at $900 million.
In addition, companies like Fabheads, Coratia Technologies, and Armory also attracted funding, reinforcing investor confidence in indigenous defence and aerospace innovation. This signals a significant shift in capital flow towards national security tech and advanced hardware capabilities.
Ecommerce Attracts Investor Appetite
The ecommerce sector continued to charm VCs, closing four deals worth $68 million. Leading the charge was GIVA, a D2C jewellery brand, which bagged $62 million from investors including Creaegis, Premji Invest, and Edelweiss Discovery Fund. The brand’s focus on lab-grown diamonds and precious metals has resonated with the modern Indian consumer.
Other players like Rabitat, Skippi, and ZILO secured smaller but significant rounds, reflecting growing demand for niche and sustainable consumer products in India’s rapidly digitising retail landscape.
Early-Stage Startups Shine
Seed and pre-Series A funding showed strong signs of revival, with five early-stage startups raising $27.8 million, a significant jump from the $3.5 million raised in the previous week. Notable among these was ShopOS, an AI-powered retail tech startup, which raised $20 million in a seed round led by 3STATE Ventures.
Other promising names like Fantail, Jobizo, AuraML, and Innovodigm tapped into niche sectors such as SaaS, healthtech, and AI infrastructure—underlining the ecosystem’s continued thirst for innovation.
Fintech & Cleantech Build Steady Momentum
Fintech startups had a fair outing this week as well. GoKwik, a B2B fintech enabler, raised $13 million with backing from RTP Global, while Sahi, an investment tech platform, closed its Series A round with $10.5 million from Accel and Elevation Capital.
In the cleantech space, EKA Mobility secured $23 million from Enam Holdings to expand its electric vehicle offerings, while Kazam, focused on electric mobility infra, brought in $6.2 million in a Series B round led by IFC. These rounds point to a growing urgency to back sustainable and green mobility solutions in India.
Investor Activity: Accel, DSG Lead the Charge
This week saw repeat bets from some of India’s most active VCs. Accel and DSG Consumer Partners each backed two startups. Their focus spanned across ecommerce, fintech, and consumer services, showcasing a well-diversified investment thesis and strong confidence in India’s consumption-led growth.
IPO Pipeline Gets Busier
This week also marked a flurry of IPO filings and public market moves:
-
Pine Labs filed for a massive IPO worth INR 2,600 crore plus OFS of 14.78 crore shares.
-
Wakefit submitted its DRHP for an INR 468 crore fresh issue and 5.8 crore OFS shares.
-
PhonePe is reportedly prepping for a $1.5 billion IPO by August, targeting a valuation of $15 billion.
-
Shadowfax is expected to file confidentially next month.
-
Meanwhile, ArisInfra debuted on the BSE but saw a 6% dip on listing.
M&A and Fund Launches Round Out the Week
Beyond funding, Incuspaze acquired Pune-based TRIOS to bolster its coworking presence. Amicus Capital marked a strong close to its second fund at $214 million, while Campus Fund launched its third and largest fund with a $100 million target.
In content, Nazara’s Sportskeeda acquired US-based Prime Timer’s IP for $500K, furthering its international ambitions.
Conclusion: Strong Finish to H1, Positive Signals for H2
The last week of June closed with a strong funding resurgence, IPO activity heating up, and renewed investor interest in both emerging tech and consumption-driven sectors. As we head into the second half of 2025, momentum appears to be picking up—offering optimism for what lies ahead.
