Indian startup funding experienced a significant rebound during the week of October 6-11, with a total of $284.6 million raised across 26 startups, marking a 78% increase from the previous week.

Early-stage funding surged as seed and pre-seed rounds reached $24.6 million through 11 deals, indicating robust activity in the startup ecosystem.

Several sectors saw notable funding, including enterprise tech with $30 million led by Avataar Venture Partners, foodtech with Hunger Inc securing $25 million, and Web3 with KGen raising $13.5 million backed by major investors.

The fintech sector dominated the funding landscape, securing $146.5 million in just two deals, including Dhan and Singapore-based Qapita, which raised $26.5 million to expand into the U.S.

Venture capital activity remained strong, with Theia Ventures closing its first $30 million fund for early-stage startups, Aagama Ventures launching a ₹400 crore fintech fund, and Jamwant Ventures aiming for ₹500 crore in its second fund, reflecting ecosystem growth.

IPO activity was active, with Lenskart receiving SEBI approval for a ₹2,150 crore issue, Wakefit for ₹468 crore, and Zappfresh successfully listing, signaling vibrant public market engagement.

Dhan became India's sixth unicorn of 2025 after raising $120 million in a Series B round led by Hornbill Capital and MUFG, valuing the company at $1.2 billion.

AI startups led deal volume with six companies raising a total of $24.5 million, including GreyLabs AI with $10 million and Lucio with $5 million, highlighting growing investor interest in AI innovation.

Despite global economic headwinds, India’s startup ecosystem demonstrated resilience and continued investor confidence, driven by strong funding across fintech, AI, enterprise tech, and early-stage sectors.