Despite a funding slowdown, these 10 investors led India’s startup dealmaking with bold bets and fresh capital raises.
Indian Startup Funding Takes a Hit, But Investor Activity Remains Resilient
India’s startup ecosystem faced a 38% year-on-year drop in funding, raising $2.1 Bn across 240 deals in Q3 2025, compared to $3.4 Bn in Q3 2024. This decline, as reported by Inc42, was felt across sectors. However, a rise in investor participation — up 7% YoY to 676 unique investors — suggests long-term optimism.
- Deal sizes slightly increased to $3 Mn, signaling cautious but meaningful investment.
- Dry powder reserves grew, with $2.5 Bn worth of new funds launched in Q3 alone.
1. Stride Ventures: Dominating With Depth and Reach
Stride Ventures retained its top position, investing in 34 startups including Zetwerk, SUGAR Cosmetics, and Infra.Market. The venture debt firm also expanded globally, launching its ADGM Fund V in the Middle East and committing $200 Mn for the region over the next two years.
- Focused on growth-stage startups in India and now the Middle East.
- First close of its new fund in July 2025, targeting regional expansion.
2. Rainmatter: The Climate-Fintech-Health Hybrid Player
Backed by Zerodha, Rainmatter emerged as the second most active investor with 16 deals. Noteworthy investments include Capitalmind, Krop AI, and Boldcare.
- Operates a perpetual fund with an extended corpus of INR 2,000 Cr.
- Maintains a clear sectoral focus on fintech, climate, and healthcare.
3. InnoVen Capital: Doubling Down on Venture Debt
InnoVen Capital secured the third spot with 13 investments, targeting IPO-ready startups like Rebel Foods and BharatPe. Its strategy includes late-stage debt financing, giving it an edge in risk-managed returns.
- Participated in Rebel Foods’ INR 150 Cr and BharatPe’s INR 85 Cr rounds.
- Focused on mature startups with near-term liquidity events.
4. ah! Ventures: Playing the Long Game
At fourth place, ah! Ventures invested in 13 startups, including Zappfresh, which closed its IPO on BSE SME in September.
- Made early bets with a patient capital approach.
- Holds on to shares post-IPO for long-term returns.
5. Inflection Point Ventures: Angel Investing at Scale
Inflection Point Ventures (IPV) closed 12 deals, backing startups like Snap-E Cabs, Qurex, and Xovian Aerospace. IPV also launched a $110 Mn angel fund under GIFT City’s IFSCA framework.
- Strategy focused on early to pre-Series A.
- Balancing success (Rebel Foods) with lessons (MyPickup’s shutdown).
6. Antler India: Betting Big on AI
Antler India matched IPV with 12 investments, with a majority focused on AI startups like AIGnosis and Pascal AI Labs. It also launched a residency program to incubate AI ventures.
- Offers up to $30 Mn in follow-on funding.
- Initial investment of INR 4 Cr ($470K) per selected AI startup.
7. Peak XV Partners: Scaling with Surge
With 11 investments, including WizCommerce, Pristyn Care, and Truemeds, Peak XV remained highly active. It also launched the eleventh Surge cohort, comprising 23 startups, mostly Indian.
- Continued strong investment momentum despite 9 top-level exits in a year.
- Maintains a structured accelerator pipeline via Surge.
8. Accel: Harvesting Big Returns
Accel made 10 investments, including Vedantu, Rocket AI, and CityMall. It also booked exits with Urban Company and BlueStone, realizing 27X and INR 134.7 Cr returns, respectively.
- Blending early-stage bets with profitable exits.
- Focused on scaling its India portfolio with global potential.
9. Swadharma Source Ventures: Diversified Family Office Play
Swadharma Source Ventures (SSV) completed 10 deals with investments in Troovy, OnFinance AI, and Thermoflyde. As a family office, it invests across asset classes from startups to public equities.
- Deployed over $30 Mn in 40+ startups.
- Offers multi-stage capital with a long-term investment view.
10. All In Capital: Early Stage, All In
Matching SSV, All In Capital backed 10 startups, such as Mello and Superliving. It launched a second fund of INR 200 Cr in March 2025 and aims to fund 50 startups over three years.
- Targets small-ticket, high-frequency early-stage deals.
- Operates with INR 5 Cr or less per investment strategy.
Investor Outlook: Optimism With Caution
Despite the funding dip, investor sentiment remains cautiously optimistic. According to Inc42’s Investor Pulse Survey:
- 51% expect a funding resurgence in 2026.
- 27% remain wary, citing global instability and US-India trade frictions.
Still, the rise in fund launches ($9 Bn YTD) signals that the ecosystem is being primed for a comeback — led by seasoned investors who continue to bet on India’s innovation engine.
