To date, the Indian environment tech sector has raised USD 7.3 Bn in funding India's financing for environmental technologies increased significantly between 2018 and 2022, from USD 0.23 billion to USD 2.47 billion, according to a Tracxn analysis.
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The Environment Tech India study from data platform Tracxn states that the Indian environment tech industry has raised a total of USD 7.3 billion in funding so far.
India's financing for environmental technologies increased significantly, from USD 0.23 billion to USD 2.47 billion, between 2018 and 2022, according to the report. Environment tech funding in India peaked in 2022 at USD 2.47 billion. On the other hand, it fell by 32% from 2022 to USD 1.68 billion in 2023. The funding stands at USD 0.24 billion as of the first three months of 2024.
For the first time since 2011, India's portion of global funding reached 7% in 2022.
India's percentage, which ranged from 0% to 7%, stayed low throughout, even with the increase in funding globally. Bengaluru (USD 2.7 billion) tops the list in this space in terms of all-time city-wise funding, followed by Delhi (USD 1.2 billion) and Mumbai (USD 942 million). But from 1% in 2018 to 5% in 2019, India's portion of global funding in this field increased significantly.
Blume Ventures is at the top of the list of the most active seed-stage investors, followed by 100X.VC, Sangam Ventures, Good Capital, and Soonicorn Ventures.
Tiger Global, Sequoia Capital, and Peak XV Partners lead the early-stage funding round.
In late-stage startups, the leading investors include The Rise Fund, Think Investments, Tekne Capital Management, and Ashna Advisors.
There have been 388 new startups funded between 2018 and 2024, bringing the total to 865. Some of the new members of the financed club are BluSmart, Ecofy, and Battery Smart.
The environment tech sector has seen 14 initial public offerings (IPOs). Some of these include ideaForge, AhaSolar, Exicom, and IKIO Lighting.
The highest average IPO market cap from 2020 to 2024, stood at $0.2 billion in 2023.
Additionally, the report disclosed that there have been 25 acquisitions made so far. The top four most active acquirers are Gulf Oil, Himadri Chemicals and Industries, Livguard, and TI Clean Mobility. Top exits include SunSure, Gram Power, and IPLTech Electric.
In 2023, just five businesses reported raising more than USD 100 million. They are Avaada, TI Clean Mobility, Mahindra Electric Automobile, Ola Electric and Ather Energy. The only unicorn to date to come out of India's environment tech sector is Ola Electric.
