Due to the difficult economic environment, equity funding for growth and late-stage companies has dropped heavily, with Indian startups raising close to $800 million in venture debt last year. According to a report released by Stride Ventures, the amount of debt funding provided to Indian startups saw a considerable increase, rising by 2.6 times when compared to 2019, when the funding amount stood at roughly $281 million.
“We see a growing demand for venture debt as startups look to optimise their capital structure and preserve equity for future rounds,” said Apoorva Sharma, Managing Partner at Stride Ventures. “With the launch of our third fund, we’re well-positioned to meet the unique debt requirements and global ambitions of Indian startups.”