• Indian startups have seen a 226% surge in funding, amassing approximately $596 million.
• Major deals include quick-commerce platform Zepto's $350 million funding and HealthKart's $153 million funding.
• Bengaluru-based startups led in deals, indicating a healthy spread of startup activity across the country.
• The surge in funding indicates strong investor confidence and the potential of India's burgeoning startup scene.

The Indian startup ecosystem has seen a remarkable resurgence this week, with a surge of over 226% in funding, amassing a total of approximately $596 million. This significant increase in funding marks a notable recovery for the Indian startup landscape, which had previously been grappling with the economic fallout of the global pandemic.

In the previous week, a total of 24 Indian startups managed to secure nearly $182.62 million in funding. This was primarily led by three growth-stage deals and 19 early-stage deals. However, the week of November 18-23 saw a significant increase in funding, with 23 startups raising a whopping $596 million. This included six growth-stage deals and 15 early-stage deals, indicating a healthy mix of early and growth-stage investments.

Major Deals of the Week

One of the most significant deals of the week was the quick-commerce platform Zepto, which raised $350 million in a funding round led by Motilal Oswal's private wealth division. This investment marks a significant milestone for Zepto, which has seen more than $1.3 billion infused into the company over the past five months. This is a testament to the rapid growth of quick-commerce in India, a sector that has seen a significant uptick in recent years.

Another notable deal was the omnichannel nutrition platform HealthKart, which secured $153 million in a funding round led by ChrysCapital and Motilal Oswal Alternates. The round also saw participation from Neo Group and HealthKart's existing investor, A91 Partners. In addition to the funding, HealthKart also announced its first-ever employee ESOP buyback plan worth Rs 55 crore ($6.5 million), a move that underscores the company's commitment to its employees.

Zopper, India's leading insurtech platform, also raised a significant amount of $25 million in a Series D funding round. This round was co-led by Elevation Capital and Dharana Capital, with participation from existing investor Blume Ventures. Zopper is also backed by Creaegis, Bessemer Venture Partners, and ICICI Venture, indicating strong investor confidence in the insurtech sector.

Geographical Distribution and Future Outlook

In terms of geographical distribution, Bengaluru -based startups led the pack with 10 deals, followed by Delhi-NCR, Mumbai, Chennai, Pune, and Hyderabad. This indicates a healthy spread of startup activity across the country, with Bengaluru continuing to cement its position as India's startup hub.

The average funding in the last eight weeks stands at around $266.77 million with 25 deals per week. This is a significant increase from the previous year, indicating a strong recovery for the startup ecosystem.

Till October this year, Indian startups have raised nearly $10 billion in funding and were on track to surpass the total funding of $10.5 billion raised throughout last year. This is a testament to the resilience and innovation of the Indian startup ecosystem, which has managed to bounce back despite the challenges posed by the global pandemic.