Chennai: Indian startups raised $3.7 billion in the first quarter of 2025 across a mix of growth and early-stage deals. This is the highest March quarter funding in the past two years.In Q1 2025, Indian startups secured $3.7 billion, against $2.75 billion in the same quarter last year – a growth of 34.5 per cent. The March quarter also marked a nearly 10 per cent jump from the previous quarter of Q4 2024, as per TheKredible.The March quarter also ranked among the highest-funded quarters when compared to the same quarters in the past two years. Funding in the startup ecosystem had recovered to $14.44 billion in 2024 from $11.3 billion in the previous year.In Q1 2025, AI, fintech, health tech and enterprise solutions saw the largest funding deals. Impetus Technologies led with $350 million, followed by Innovaccer ($275 million) and Zolve ($251 million).The first quarter of 2025 witnessed 50 merger and acquisition deals in the startup ecosystem. Among the most notable acquisitions, D2C skincare brand Minimalist was acquired by FMCG giant Hindustan Unilever Limited (HUL) for nearly $350 million. This was followed by SaaS company Wingify, which was bought by Singapore-based PE firm Everstone for $200 million.Bengaluru-based startups led the funding activity in Q1 2025, securing 122 deals and raising over $1.4 billion, accounting for 38 per cent of the total funding.Three startups laid off nearly 350 employees. Ola Electric, now a listed company, also laid off 1,000 employees. In Q4 2024, 1,200 employees in different startups were laid off.
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