This week, seed-stage startups raised a remarkable $8.1 million, more than triple the $2 million raised last week by four early-stage companies, highlighting a surge in early funding activity.

Indian startup funding experienced a 58% increase during the week of August 25-30, reaching $98.2 million across 18 startups, up from $62.2 million the previous week.

The fintech sector led the funding surge, with three startups raising a total of $54.4 million, including TransBnk's $25 million Series B round, emphasizing strong investor interest in financial technology.

In major corporate developments, Prosus is in talks to invest around $200 million in ride-hailing platform Rapido, which could value the company at over $2.5 billion.

Reliance Industries' Jio is also gearing up for an IPO expected in the first half of 2026, signaling significant moves in the Indian telecom and tech sectors.

Investment activity included Elevation Capital launching a $400 million fund aimed at IPO-bound startups and a99 raising a third fund targeting $100 million, reflecting ongoing investor confidence.

Additional notable developments involved Uniphore's acquisition of Orby AI, Arctus Aerospace's pre-seed funding, Miko's plan to raise $151 million, and the Delhi government’s initiative to create a INR 200 crore venture capital fund.

Blume Ventures stood out as the most active investor, participating in funding rounds for startups like WizCommerce, Vutto, and Anmasa, further cementing its role in the startup ecosystem.

Ecommerce remained the most active sector, with six startups securing $16.6 million, predominantly driven by five direct-to-consumer companies contributing about 60% of the total.

On the larger scale, Indian unicorns like Groww and OYO are preparing for IPOs, with Groww approved by SEBI to raise between $800 million and $1 billion at a valuation of $7-8 billion, and OYO targeting a similar valuation.