Top 5 Funding Mega Deals Powering India’s Startup Revolution

In 2024, India’s startup ecosystem saw a flurry of big funding rounds, signaling continued investor confidence in the country’s burgeoning corporate landscape. Aside from headlines about billion-dollar valuations and mega-deals, key questions arise about how the money will be spent and how startups will effectively turn investments into tangible growth and innovation.

A total of 984 venture capital (VC) financing deals were announced in India from January to October 2024, growing deal volume by 5.8% year-on-year. At the same time, total funding from these deals rose 44.4% year-on-year to $9.2 billion during the same period, according to GlobalData.

Here’s a look at five big deals from the startup ecosystem in 2024.

One startup in the quick commerce race, Zepto, has made headlines after raising more than $1 billion in three funding rounds. In June, it raised $665 million at a $3.6 billion valuation, and in August it raised $340 million, raising its valuation to $5 billion.

After the funding, Zepto focused on expanding its existing delivery network, improving supply chain efficiency, and investing in technology. The capital infusion also helped the startup expand into second- and third-tier cities with an aim to capture a larger market share.

Lenskart

Eyeglasses retailer Lenskart raised $200 million in a secondary investment led by Temasek and Fidelity Management in June 2024, valuing it at $5 billion.

The company said the funds were used to scale operations and expand its retail presence globally and domestically. Lenskart has strengthened its supply chain and explored new product lines, while also introducing augmented reality (AR) for virtual try-ons.

Meesho

E-commerce platform Meesho secured $275 million in a Series F funding round led by Tiger Global Management and PeakXV Partners in May 2024.

After the funding, Meesho used the capital to expand its product categories, onboard more sellers, and improve its logistics network. A significant portion was spent on improving the platform’s technological infrastructure with the aim of providing a seamless shopping experience to users and supporting small and medium-sized enterprises (SMEs) across India.

PharmEasy

API Holdings, parent company of healthtech startup PharmEasy, raised US$216 million in a Series F funding round in April 2024 with participation from Manipal Group and Temasek.

According to the company, the investment has been earmarked for expanding PharmEasy’s diagnostic and remote consultation services, strengthening its sales network and improving its technology platform to provide a comprehensive healthcare ecosystem. The company also focused on strategic acquisitions to expand its service offerings and market reach.

Rapido

Ride-hailing platform Rapido secured $200 million in a Series E funding round led by WestBridge Capital and Nexus Venture Partners in September 2023, bringing its valuation to $1.1 billion.

Rapido said it used the funds to expand its services to new cities, improve benefits for drivers and partners, and invest in safety features for passengers and drivers. In addition, the company also focused on marketing efforts to increase brand awareness and customer acquisition to solidify its position in the competitive ride-hailing market.