[Weekly funding roundup May 2-6] Steep rise in venture investments

The month of May has started on steady note with few deals above the $50 million range, giving the ecocsystem a boost, but it looks like a challenging year given the external environment.
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The month of May has started on a relatively positive note for the Indian startup ecosystem in terms of venture capital inflow, even though the external environment remains uncertain with central banks across raising interest rates and stock markets on a decline.

The first week of May saw total venture funding of $532 million cutting across 26 deals. In comparison to the previous week number of $262 million, which is little more than 100 percent growth.

However, the venture fund inflow into Indian startups has been hovering around the $500 million figure on a weekly basis for the last five weeks. This is not an encouraging sign for the Indian startup ecosystem as the external developments around the interest rate hike will have a bearing on the sector.

It is likely that the Indian startup ecosystem will move into the uncertain zone this year and may have to realign its priorities. The euphoric year of funding in 2021 may seem like a distant past.

Deals

Quick commerce startup Zepto raised $200 million from Y Combinator Continuity Fund, Kaiser Permanente Ventures, Nexus Venture Partners, Glade Brook Capital Partners, and others.

Absolute, a plant bioscience startup, raised $100 million from Sequoia Capital India, Alpha Wave Global, and Tiger Global Management.

Diagnostic chain Redcliffe Life Sciences raised $61 million from LeapFrog Investments, Healthquad, Schroders, LC Nueva, Growth Spark Ventures and others.

SME-focused neobanking platform Open raised $50 million from IIFL, Temasek Holdings, Tiger Global Management, and 3one4 Capital.

Dental care startup Toothsi raised $40 million from Eight Roads Ventures, Paramark, IIFL, and others.

Healthcare startup Genworks raised Rs 135 crore from Somerset Indus Capital Partners, Grand Vista, Evolvence and Wipro GE.

SaaS startup Toplyne raised $15 million from Tiger Global, Sequoia Capital India, Together Fund, and angel investors.

Fintech startup Kaleidofin raised $5 million, adding to its $15 million Series B round led by Michael and Susan Dell Foundation, and Strategic Investment Fund.

Fibre broadband network Excitel has raised $11.5 million in equity from existing and new tech investors based out of Europe.

Ecommerce rollup startup Evenflow Brands raised $5 million from Village Global, 9Unicorns, Venture Catalysts, LetsVenture, Shiprocket, and others.

Edited by Kanishk Singh

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