India startups raise $19.3 billion venture capital funding

India startups raise $19.3 billion venture capital funding during January-October 2022, finds GlobalData

A total of 1,456 venture capital (VC) funding deals worth $19.3 billion were announced in India during January to October 2022, which is a 7.5% growth in deal volume but 29.8% decline in deal value compared to the same period last year, finds GlobalData, a leading data and analytics company.

An analysis of Globaldata’s Financial Deals Database reveals that while both VC funding value and volume declined in September 2022 compared to the previous month, October witnessed a rebound in value by 25.5% to $898.3 million despite experiencing 33.9% decline in deal volume.

Aurojyoti Bose, Lead Analyst at GlobalData, comments: “The total VC funding value still remained below $1 billion. In fact, October is the second consecutive month and the third month of 2022 with funding levels recording below $1 billion. July was the first month of 2022 when the total VC funding raised by Indian startups fell below $1 billion. Nevertheless, the improvement in deal value in October could be seen as a positive sign.”

Moreover, deals valued more than $100 million, which were non-existent in September, made a come back in October through the announcement of $250 million funding raised by Think and Learn (Byjus).

Bose adds: “Despite a decline over 2021, the total funding value during January-October 2022 still remains at a much higher level compared to the same period in 2019 and 2020.”

VC funding deal volume in India during January-October in 2019, 2020 and 2021 was 883, 922 and 1,355 while the corresponding value stood at $10.2 billion, $6.1 billion and $27.5 billion, respectively.