After weeks of tepid activity, India’s startup ecosystem sprang back to life between May 19 and 24, 2025, with a strong influx of capital, renewed investor confidence, and a flurry of IPO and fund launch announcements. With $231.7 million raised across 16 deals — a 53% rise from the previous week — the pulse of the startup world is picking up again, fueled by big bets on cleantech, fintech, and emerging tech.
Credits: Pocketful.in
Let’s take a closer look at the major highlights and signals shaping India’s innovation economy this week.
Big Cheques, Bigger Ambitions: Cleantech Leads the Charge
At the forefront of this funding rebound was Euler Motors, an electric vehicle startup, which raised a massive $75 million Series D round led by Hero MotoCorp. This not only made Euler the top-funded startup of the week but also pushed cleantech to the top of the funding leaderboard.
Two other cleantech startups, Alt Carbon ($12 Mn seed) and Promethean Energy ($2 Mn pre-Series A), added momentum to the sector. With climate-tech gaining global traction, Indian investors are clearly aligning with the green economy’s next wave.
Fintech & SaaS Maintain Strong Momentum
Fintech continued to flex its muscle, with $65.9 million raised across three deals. Notably, Oxyzo, a lending tech startup, secured $62.4 million in debt funding from Neo Group, signaling growing investor comfort with structured debt over equity in capital-intensive models.
Meanwhile, enterprise SaaS saw key action with CloudSEK ($19 Mn, Series A2) and Data Sutram ($9 Mn, Series A) attracting institutional interest from names like MassMutual, Lightspeed, and B Capital. These horizontal SaaS players are enabling digital transformation across sectors, proving that B2B tech continues to be a dependable bet.
Early-Stage Energy: Bold Bets & Star-Backed Startups
The early-stage ecosystem remained vibrant, with four seed deals clocking in $27.6 million, albeit slightly lower than last week (7% drop). Yet, investor appetite for fresh ideas remained strong.
A standout here was Mythik, a digital media startup, which raised $15 million in seed funding, backed by the Shah Rukh Khan Family Office, BITKRAFT, and Sakal Media Group — an eye-catching crossover between Bollywood and venture capital.
Alt Carbon’s seed round also attracted an eclectic mix of celebrity investors including Tanmay Bhat and Nakuul Mehta, reflecting a growing trend of influencer-backed climate investments.
D2C, Healthtech & Hyperlocal: Steady but Selective
Healthtech player CureBay landed a $21 million Series B round led by Bertelsmann India Investments, reinforcing the sector’s importance in delivering accessible telemedicine services across Bharat.
Ecommerce saw some modest but targeted funding, including Miraggio ($6.5 Mn, Series A), BlackCarrot, and The Sock Street, all in the D2C space, signaling that while the frenzy has cooled, brand-led commerce is still a niche investors are watching closely.
Hyperlocal service startups Shuru and Misfits also managed to secure funds, indicating continued interest in solving last-mile and lifestyle challenges for urban India.
IPO Fever: Shiprocket, Pine Labs & Tonbo Imaging in Focus
It wasn’t just about private capital this week. The public market saw IPO action ramp up, starting with logistics unicorn Shiprocket filing confidentially for a ₹2,500 Cr listing.
In fintech, Pine Labs made a major step by converting into a public company — a clear move towards its long-anticipated IPO. Meanwhile, defence tech startup Tonbo Imaging is reportedly gearing up to file a ₹1,000 Cr DRHP by August.
These IPO moves signal maturing confidence in India’s startup story — both from companies and capital markets.
New VC Funds: Betting on India’s Tech Future
Three new VC fund launches this week brought even more optimism:
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247VC, launched by ex-100X.VC partners, announced a $30 Mn seed fund for sectors like deeptech and consumption.
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360 ONE Asset rolled out a $60 Mn early-stage fund, with a focus on fintech infra, AI, spacetech, and precision manufacturing.
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Pressplay Capital, led by former Brightcove head Viniit Mehta, is raising $10 Mn for gaming and adtech startups.
These funds will fuel the next cohort of founders and add to India’s growing venture landscape.
Credits: Bizz Buzz
The Road Ahead: Momentum Restored
From large-scale funding rounds to early-stage enthusiasm, IPO preparations to new VC capital — this week proved that India’s startup engine is revving up again. While global macro concerns remain, the resilience and adaptability of the Indian innovation economy continue to shine through.
