The Tech Panda takes a look at what’s buzzing in the startup ecosystem.
India’s Next US$100 B IPO Cohort Set to Double Market Share of VC-Backed Startups
In April, the Rainmaker Group launched the 2025 edition of The RainGauge Private Pulse, a definitive and dynamic tracker of India’s most consequential venture capital-backed companies poised to go public over the next two years.
With 38 high-growth startups as part of the incoming cohort, valued collectively at over $100 B, India’s public markets are set to witness a transformative wave that could double the share of venture-backed companies to 4-5% of the nation’s market capitalization and 5-7% of the free float. A fifth of BSE Midcap Index and a tenth of SENSEX can be VC backed startups in the next 3-5 years.
“India’s public markets are poised for a significant transformation as a new wave of venture-backed startups prepare to rewrite the IPO playbook. This next wave isn’t just chasing growth; they’re building sustainable, global-ready businesses that put real value on the table.” — Kashyap Chanchani, Managing Partner of The Rainmaker Group (TRMG)
India’s 38 VC-backed listed startups currently have a market cap of around $100 B those tapped public markets in two waves in 2021 and 2024. The next set identified by RainGauge Private Pulse includes a diverse range of high-performing companies expected to reshape India’s IPO playbook. This cohort is the largest by volume and value and the most resilient, with a robust pre-listing growth trajectory and a strong path to profitability.
More importantly, the next set to be listed over the 24 months also showcases the founders who have endured setbacks and effected a turnaround in their businesses, rendering themselves a better fit for public market scrutiny. RainGauge’s interactions with the management of several companies suggest their appreciation for governance structures and transparent reports.
The RainGauge Private Pulse claims that the next wave of startups (third wave) is fundamentally stronger than its predecessors. Unlike earlier IPO cycles, where companies were often priced to perfection or listed below expectations, the upcoming cohort appears better positioned to withstand public market scrutiny. Nearly two-thirds of these companies that have indicated IPO timelines are already profitable, two years ahead of their IPO, demonstrating operational discipline and sustainable growth.
It also claims that the latest cohort brings diversification beyond traditional tech. For the first time, non-software businesses built in India with global ambitions are preparing to go public alongside emerging sectors such as B2B marketplaces.
Kashyap Chanchani, Managing Partner of The Rainmaker Group (TRMG), said, “India’s public markets are poised for a significant transformation as a new wave of venture-backed startups prepare to rewrite the IPO playbook. This next wave isn’t just chasing growth; they’re building sustainable, global-ready businesses that put real value on the table. We expect this shift to significantly boost retail investor confidence in the long run and double the market cap contribution of VC-backed companies. I’m excited to see India’s public markets become younger, faster-growing, and more reflective of India’s new economy.”
The report further notes that the first wave of venture-backed IPOs delivered high growth but struggled with profitability, while the second wave corrected course with more measured valuations but mixed post-listing results. The incoming set has learned from both, focusing on delivering consistent, predictable performance in public markets, an essential shift as investor expectations rise.
Four Indian Banks Signed Up for the World’s Largest SCF Platform Through PSBXchange
Also last month, in a significant step towards transforming MSME financing in India, four leading public sector banks – Bank of Baroda, Central Bank of India, Indian Overseas Bank, and UCO Bank signed up for the world’s largest unified Supply Chain Finance (SCF) platform, PSBXchange by PSB Alliance, developed and powered by Veefin Solutions.
This platform is on track to become the common technology bridge for all banks and NBFCs in the country to source and provide supply chain finance and small business loans. This unified platform is a global-first that will connect Fintechs, B2B marketplaces, Accounting Service Providers, new-age data providers with the core banking system of multiple lenders.
“By integrating with this unified digital infrastructure, the banks will actively be extending credit to a broader and more diverse base of SMEs across India. Their wide reach, combined with PSBXchange’s digital capabilities, is bringing structured supply chain finance to MSMEs that have traditionally remained outside the formal credit system.” — Anjali Mohanty, Managing Director, PSB Alliance
Anjali Mohanty, Managing Director, PSB Alliance, “Bank of Baroda, Central Bank of India, UCO Bank, and Indian Overseas Bank have now signed up for the PSBXchange platform, accelerating our mission of inclusive credit delivery. By integrating with this unified digital infrastructure, the banks will actively be extending credit to a broader and more diverse base of SMEs across India. Their wide reach, combined with PSBXchange’s digital capabilities, is bringing structured supply chain finance to MSMEs that have traditionally remained outside the formal credit system. Powered by Veefin’s technology at the backend, we are ensuring that access to working capital remains equitable, data-driven, and accessible across tiers and geographies.”
Raja Debnath, Chairperson, Co-Founder & CEO at Veefin Group, “Powering the PSBXchange platform is as integral to the economy as powering its very backbone. With MSMEs contributing over ~30% to the GDP, this platform is set to redefine financial inclusion. By offering MSMEs faster access to higher-quality credit, the PSBXchange platform accelerates their growth while strengthening the entire lending process.”
Returns with 2.0X DPI from Maiden Fund
In March, Endiya Partners, an early-stage venture capital firm achieved an impressive 4.0x Multiple on Invested Capital (MOIC), placing it in the top performers of funds from its vintage. The fund’s performance includes a partial exit from Darwinbox, a cloud-based HR tech platform that has emerged as a unicorn in the enterprise SaaS space.
Through a strategic, thesis-driven investment approach, Endiya has successfully backed category-defining startups across SaaS, cybersecurity, semiconductors, and digital health sectors. The firm’s disciplined portfolio construction, with 12 high-conviction investments, has yielded multiple strategic exits, secondary sales, and a robust IPO pipeline. The firm has also seen portfolio company acquisitions, including Steradian Semiconductors (acquired by Renesas) and ShieldSquare (acquired by Radware).
“For every $1 we invested, our portfolio companies raised over $50 in follow-on capital, demonstrating both the quality of our investments and our ability to identify scalable businesses early.” — Dr. Ramesh Byrapaneni, Managing Director at Endiya Partners
In healthcare technology, SigTuple’s FDA-cleared AI pathology platform secured a global distribution licensing deal with Horiba. Endiya expects further liquidity events with Kissht’s confirmed IPO within the next 12 months, alongside CureFit’s anticipated public listing in the same timeframe.
“Our disciplined, thesis-driven approach has been pivotal to Fund I’s performance,” added Dr. Ramesh Byrapaneni, Managing Director at Endiya Partners. “For every $1 we invested, our portfolio companies raised over $50 in follow-on capital, demonstrating both the quality of our investments and our ability to identify scalable businesses early.”
The firm’s portfolio metrics underscore this success, with 85% of portfolio companies securing follow-on funding rounds. Endiya’s operator-led approach drives portfolio success by facilitating product rollouts, talent acquisition, sales/business development introductions, and follow-on fundraising. Building on its Fund I success, Endiya’s second fund has constructed a robust portfolio including high-growth startups such as Darwinbox, Scrut Automation, Zluri, EyeStem, Sugarfit, Qapita, Mylo, AquaExchange, and BluJ Aerospace.
Endiya’s third fund, backed by institutional limited partners including IFC and AIIB, has already deployed capital into four investments across enterprise technology, industrial technology, healthcare, and life sciences including AltiusHub, Perceptyne, Pulse and Nivaan Care.
SF Based VC raises US$350 M India Fund to Back Next-Gen Startups
In March, Bessemer Venture Partners, an venture capital and private equity firm headquartered in San Francisco, announced the close of $350 million in capital for its second dedicated India fund, which will enhance the firm’s focus on early-stage investments, across AI-enabled services and SaaS, fintech, digital health, direct-to-consumer brands, and cybersecurity.
Vishal Gupta, Partner and Managing Director of the firm’s Bangalore office said, “We remain focused on identifying and investing in founders who are driving innovation, solving complex challenges, and building market-defining companies. Beyond providing capital, we bring deep sector expertise, a global network, and hands-on support to help founders navigate their growth journeys and scale sustainably.”
“India is at the forefront of the AI-driven transformation, with founders building domestic as well as globally-competitive businesses across enterprise software, fintech, and consumer technology. As AI adoption accelerates, we see immense opportunities for innovation, and this fund allows us to back entrepreneurs shaping the next phase of India’s digital economy.” — Bessemer Partner Anant Vidur Puri
Bessemer Partner Anant Vidur Puri added, “India is at the forefront of the AI-driven transformation, with founders building domestic as well as globally-competitive businesses across enterprise software, fintech, and consumer technology. As AI adoption accelerates, we see immense opportunities for innovation, and this fund allows us to back entrepreneurs shaping the next phase of India’s digital economy.”
The firm’s first dedicated India fund backed notable startups including Boldfit, MoveInSync, Pepper Content, Shopdeck, Vetic, and Zopper, while its broader portfolio includes category leaders like BigBasket, Livspace, Perfios, Swiggy, and Urban Company. The firm has also seen nine IPOs within its India portfolio.
