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According to the report from the analytical platform Tracxn, Indian technology companies collectively raised $10.3 billion in the first nine months of 2026. This figure represents a growth of 6.18% compared to the $9.7 billion raised during the same period last year, and it also exceeds the $10 billion collected in the first nine months of 2024.

Despite the overall increase in funding, the report notes a significant decrease in the number of funding rounds, first-time funded companies, and additions to the Soonicorn category.

The most successful sectors were enterprise applications, fintech, and enterprise infrastructure, which together accounted for 18 rounds worth $100 million or more. In total, 1134 funding rounds were registered in the first nine months of 2026, which is 38% less than the 1838 rounds from the previous year.

Among the major deals are the Nxtra private equity round of $1 billion, the Series B round for Neysa worth $600 million, and the Series H round for CRED worth $540 million. A significant portion of these mega-rounds was directed towards AI infrastructure, digital lending, and payments, indicating a concentration of capital in fewer, but larger and more confident investments.

However, at the initial stage of the funnel, seed funding, decreased by 37% to $698 million. Meanwhile, early-stage funding increased by 27% to $4.2 billion, while late-stage funding remained relatively stable at $5.4 billion.

First-time funded companies decreased by 30% to 338, and Series A+ rounds fell by 23% to 409. This suggests that the market supports established companies more than new entrants, despite the growth in total funds raised.

The report also highlighted that enterprise infrastructure became the fastest-growing sector during this period, showing a funding growth of 436%—from $292 million the previous year to $1.6 billion. Enterprise applications grew by 49%, reaching $3.5 billion, and fintech demonstrated a growth of 13%, reaching $2.2 billion.

AI infrastructure became the most funded business area with $1.2 billion, surpassing digital lending ($799 million) and payments ($773 million).

Six new unicorns emerged in India this year, more than the four such companies in the same period last year. New unicorns on average attracted $101 million before their unicorn round, which is less than half of the average figure of $205 million in the first nine months of 2025.

During the first nine months of 2026, there were 29 initial public offerings (IPOs) and 91 acquisitions in India, compared to 131 deals the previous year. The leaders in IPOs were Fractal Analytics with a market capitalization of $1.7 billion, as well as Molbio Diagnostics ($973 million) and Amagi ($858 million). Shiprocket also went public during this period.

The average time from first funding to IPO decreased to 8.5 years from 13.7 years the previous year, and the average time to acquisition decreased to 6.9 years from 14.7 years. Among the acquisitions, the largest was the sale of Innovist to L'Oréal for $434 million, as well as the purchase of IntelliSmart by Adani Energy Solutions for $319 million and the acquisition of Unacademy by UpGrad for $218 million.

Bengaluru maintained its status as the dominant funding hub in India in 2026, accumulating 43% of the total technology capital amounting to $4.4 billion, higher than the previous year's 38%. In Bengaluru, the funding leaders were CRED ($540 million), Rapido ($240 million), and Sarvam ($234 million), strengthening the city's position in fintech, mobility, and AI.

Mumbai took second place with $1.8 billion (18% share), surpassing Gurgaon, which raised $1.6 billion, doubling its share from 8% to 16%, mainly due to the Nxtra $1 billion round. Noida ($660 million, 6%) and Delhi ($446 million, 4%) completed the top five, with Delhi's share sharply decreasing from 15% the previous year.

The consumer-focused global fund, L Catterton, announced on Wednesday that it has reached a definitive agreement to invest in the restaurant chain Nandhana Foods Private Ltd., which specializes in Andhra cuisine. According to sources, the fund will acquire a minority stake worth $30 million.

The investment is aimed at supporting the next stage of growth for Nandhana Foods and will allow the group to achieve greater scale by leveraging L Catterton's industry expertise and operational capabilities. The investment fund itself stated that this support will help the company develop.

For over thirty years, Nandhana Foods has built a loyal customer base by offering authentic Andhra cuisine. L Catterton's partner, Vikram Kumaraswamy, noted that the company saw potential to deepen and expand the network's presence in South India, as well as to enter new markets.

He added that the founding Nandhana Foods family has created a unique and scalable business with a strong consumer offering and attractive unit economics. The company has developed in a disciplined manner, ensuring high quality and consistency in its restaurants.

Ravi Chandar, founder and managing director of Nandhana Foods, reported that the restaurant chain intends to use L Catterton's experience to strengthen its operations. He expressed satisfaction with the partnership, noting that L Catterton has a track record of creating value for its portfolio companies worldwide.

To date, L Catterton has invested in approximately 30 restaurant businesses, including Dishoom, P.F. Chang’s, Velvet Taco, Baja Fresh, Cheddar’s Scratch Kitchen, Cigierre, HUGE, Impresario, and Mendocino Farms.