This yr, India’s tech startups won $11.3 billion investment, an build up of six in keeping with cent from $10.7 billion in 2023, consistent with a document by way of SaaS-based marketplace intelligence platform Tracxn on Thursday (December 19). India positioned 3rd in investment, after the USA (US) and the UK (UK), however forward of China and Germany.

Within the first part of the calendar yr 2024, India tech won $5.32 billion throughout 540 investment rounds, a progress of 8 in keeping with cent from H2 2023 the place $4.92 billion used to be raised throughout 890 rounds, however 22 in keeping with cent less than the $6.81 billion raised from 1,210 rounds in H2 2022. The information signifies a shift in opposition to fewer, higher investment rounds, signaling to modify investor priorities.

A have a look at This fall 2024 investment

Within the fourth quarter of 2024 (until date), $1.8 billion in investment has been raised throughout 219 rounds, as in keeping with the Tracxn document. This represents a 47.5 in keeping with cent drop from $3.5 billion in Q3 2024 and a 33.3 in keeping with cent lower in comparison to $2.7billion in This fall 2023.

Overall acquisitions

This yr, 113 acquisition offers had been recorded, representing a 19.3 in keeping with cent decline from 140 acquisitions in 2023 and a 41.1 in keeping with cent drop from 192 acquisitions in 2022. 

In the meantime, iBUS used to be received by way of NIIF for $200 million, turning into the highest-valued acquisition in 2024 adopted by way of the purchase of Unswerving Hospitality by way of Finnest for $160 million.

Best VC buyers

Startups noticed sturdy backing from project capital (VC) corporations like Accel, Blume Ventures, and Top XV Companions which additionally emerged as the highest buyers in 2024. Within the seed level, Undertaking Catalysts, Z Country Lab, and Blume Ventures led the way in which as the highest buyers, whilst Accel, Top XV Companions and Elevation Capital ruled the early level and SoftBank Imaginative and prescient Fund, Creaegis and Avataar Ventures emerged as essentially the most energetic within the past due level. 

Bengaluru-based startups recorded maximum investment

Speaking about city-wise investment in startups, Bengaluru-based tech corporations accounted for 30.28 in keeping with cent of all investment observed by way of tech firms throughout India. This used to be adopted by way of Mumbai at an in depth 2d at 27.07 in keeping with cent.

Best-performing sectors in 2024

Best-performing sectors had been the gig financial system, retail, and undertaking packages. The Gig Financial system won $2.2 billion in investment, up 414 in keeping with cent from $420 million in 2023, demonstrating its super enlargement and investor agree with. 

Retail, however, won $2.6 billion, a 13 in keeping with cent lower from $3 billion in 2023, signalling marketplace recalibration. Endeavor packages won $2.2 billion in investment, down 11 in keeping with cent from $2.5 billion in 2023, suggesting strategic funding changes.

“Fast trade emerged as a high-growth sector, with 40 energetic firms, together with Zepto (Unicorn), Dunzo (Soonicorn), and Graceful and Farmako (Minicorns). In YTD 2024, the sphere raised $1.37 billion in fairness investment from 7 rounds, pushed in large part by way of Zepto, which secured $1.355 billion throughout 3 $300 million rounds. Key buyers incorporated Goodwater Capital, StepStone Crew, and Lightspeed Undertaking Companions,” the document stated.

“India Tech noticed 37 IPOs in 2024, a vital 76.19% build up over 21 IPOs in 2023 and 94.74% upper than 19 IPOs in 2022. Main IPOs incorporated Swiggy, Niva Bupa, BlackBuck, and C2C Complex Techniques,” it added.