Weekly Financial Wrap-Up: IPOs, Funding Rounds, and Market Shifts

This week brought a flurry of activity across India's financial landscape, from significant funding rounds for growing businesses to major shifts in market share for digital platforms and exciting IPO developments. Here's a look at the key financial news and business updates you need to know.

Indian Stock Market Sees Slight Rebound Amidst Brokerage Shifts

After two months of decline, the Indian stock market's active user base saw a marginal rebound in August 2025, rising 0.5% to 46.19 million clients. Despite this slight recovery, the broking sector continued to see dynamic shifts among its leaders.

Groww maintained its leading position with 12.07 million active clients, holding a 26.26% market share, even after a 2.26% month-on-month decline. Zerodha remained in second place with 7.26 million clients and a 15.8% market share, experiencing a 2.3% decline. Angel One is closing the gap, standing marginally behind Zerodha with a 15.33% share after a 2.1% decline.

Upstox reported another significant drop in its user base, down 3.9% month-on-month in August, now holding a 5.17% market share with 2.38 million clients. Meanwhile, emerging broker Dhan secured the 9th spot with a 2.15% market share and 1 million clients. Traditional brokers like ICICIDirect, HDFC Securities, and Kotak Securities maintained their positions. The Indian stock market has, however, underperformed global peers, impacted by foreign institutional investor outflows and recent US tariffs.

UPI Transactions Hit All-Time High, Diversifying Payments Landscape

India's Unified Payments Interface (UPI) crossed an unprecedented 20 billion transactions in August 2025, marking its highest monthly volume ever. PhonePe continues to dominate the digital payments market, achieving 9.15 billion transactions (45.74% share by volume) and Rs 11.99 lakh crore (48.26% share by value). It’s the first time PhonePe crossed the 9 billion monthly transaction milestone.

Google Pay followed closely, recording 7.06 billion transactions (35.30% share by volume) and Rs 8.83 lakh crore (35.55% share by value), also crossing the 7 billion monthly transaction mark for the first time. Paytm held the distant third spot with 1.41 billion transactions and a 7.03% market share.

Notably, the combined market share of these top three apps has declined from 93.22% in January to just over 88% in July. This indicates growing competition from new UPI apps and promotional offers, with players like Navi and CRED gaining traction, and super.money even surpassing CRED in transaction volume.

In terms of spending, debt collection led UPI transactions in August with Rs 77,007 crore, followed by groceries at Rs 68,116 crore, and fuel at Rs 34,547 crore. Securities brokers and dealers also saw significant activity, recording Rs 45,687 crore. Digital goods, including gaming, saw a sharp decline of 26% to Rs 7,441 crore in August, linked to recent bans on real money gaming apps.

Major Funding Rounds and IPO Buzz

This week saw a series of significant funding announcements and IPO movements across various sectors:

• OneAssist Secures Rs 108 Crore from Stride Ventures: The Peak XV-backed post-sales service company, OneAssist, is set to raise Rs 108 crore ($12.3 million) in a mix of debt and equity from Stride Ventures. This marks their first debt funding in four years. The company's board approved Rs 100 crore through non-convertible debentures (NCDs) and Rs 8 crore via compulsory convertible preference shares (CCPS). OneAssist, a subscription-based platform for device and wallet protection, reported strong financial performance in FY25, with operating revenue growing 22% to Rs 623 crore and a 56% reduction in net loss to Rs 11 crore, achieving a positive EBITDA of Rs 26 crore.
• Ziffi Chess Raises Over $5 Million in Series A: The 2-minute chess format game, Ziffi Chess, secured Rs 44.2 crore ($5 million) in its Series A round, led by Tanglin Venture Partners. Existing investors India Quotient and DeVC also participated. The Gurugram-based company, founded in 2023, was valued at approximately Rs 206 crore ($23.5 million) post-allotment. Following the government's ban on real-money online gaming, Ziffi Chess now offers free matches, shifting from its previous entry fee model.
• Flipspaces Closes $50 Million Expanded Series C Round: Interior design company Flipspaces raised $50 million in an expanded Series C round from a diverse group of investors, including CE-Invests (UAE), Panthera Growth Partners (Singapore), and SMBC Asia Rising Fund (Japan). Existing investors like Iron Pillar also participated. The fresh capital will be used to scale operations across India, the U.S., and U.A.E., deepen supply chain integration, and enhance its AI-driven technology stack. Flipspaces reported a 90% increase in operating revenue to Rs 190 crore in FY24, significantly reducing its losses to Rs 8 crore.
• IndiGrid Technology Secures $4 Million from Cactus Partners: Electric vehicle (EV) component maker IndiGrid Technology raised $4 million (about Rs 35.2 crore) in a strategic funding round from existing investor Cactus Partners. The electronics systems design and manufacturing (ESDM) startup plans to expand production capacity and offerings, enhance automation, ramp up hiring, and broaden its presence globally. IndiGrid, which has diversified into consumer electronics, reported a revenue of Rs 108.5 crore in FY25 and targets Rs 350-380 crore in FY26.
• PayU Plans $300 Million Fundraise Ahead of IPO: Prosus-backed payments company PayU is exploring a $300 million fundraise by selling a minority stake, ahead of its anticipated Indian stock exchange IPO in 2026. This move aims to gauge investor demand and set a valuation benchmark. PayU, which recently acquired a 43.5% stake in Mindgate Solutions, provides digital payment gateways and lending services. In FY25, PayU’s India payments business grew 12% to $498 million, with overall revenue rising 21% to $669 million.
• Urban Company Secures Rs 854 Crore from Anchor Investors for IPO: Home services marketplace Urban Company allocated shares worth Rs 853.87 crore ($97 million) to anchor investors ahead of its Rs 1,900 crore Initial Public Offering (IPO). Global investors like Goldman Sachs, Dragoneer Investment Group, Norges Bank, and GIC are among the key anchor investors. The IPO, comprising a fresh issue of Rs 429 crore and an Offer-for-Sale of Rs 1,471 crore, will open for subscription from September 10-12. For FY25, Urban Company reported a 38% surge in operating revenue to Rs 1,144 crore and a profit before tax (PBT) of Rs 28.5 crore.
• Venture Catalysts Raises Rs 150 Crore to Scale Multi-Stage VC Platform: Multi-stage venture investing platform Venture Catalysts raised Rs 150 crore (around $18 million) by selling primary and secondary shares. The funds will be used to expand leadership teams, launch new funds, and roll out AI-enabled tools for due diligence and investor reporting. The primary transaction valued the company at about $200 million post-money. Venture Catalysts, managing over $500 million across funds, has backed over 400 companies including Renee Cosmetics and BharatPe.
• Aviral Bhatnagar’s AJVC Closes Maiden Fund at Over Rs 200 Crore: Pre-seed venture capital firm A Junior VC (AJVC), founded by Aviral Bhatnagar, closed its maiden fund with commitments surpassing Rs 200 crore, more than double its original target. The fund ultimately closed at nearly Rs 165 crore. AJVC has rapidly emerged as an active pre-seed investor, having backed 25 startups to date and planning to support an additional 60-70 startups in AI and consumer technology. Recent investments include jewellery brand Nuyug and FMCG company Mithila Foods.
• Prop-tech startup WeHouse Raises Rs 25 Crore: WeHouse (formerly Hocomoco), a prop-tech startup, raised Rs 25 crore (around $2.8 million) in a Series A funding round, a mix of debt and equity. Existing backers like Anthill Ventures, Suresh Babu Daggubati, Gaurav Marya, and Mohnish Yerra participated. The fresh capital will be used to expand operations to new cities, including Coimbatore, Ahmedabad, Jaipur, Surat, and Chandigarh, by the end of the year. The Hyderabad-based company provides tech-led solutions for home construction and reconstruction, and has executed more than 400 projects.
• Government Launches Rs 100 Crore Scheme for Green Hydrogen Startups: The Union government has launched a Rs 100-crore scheme to support startups working on green hydrogen production. The scheme will provide up to Rs 5 crore per project for pilot initiatives in hydrogen production, storage, transport, and utilization technologies. This initiative aims to turn research into practical solutions and make India a global hub for green hydrogen under the National Green Hydrogen Mission (NGHM).

Key Financial Performances

Beyond direct funding news, several companies released their latest financial results, offering insights into their growth trajectories:

• PharmEasy Reports Flat Revenue, Cuts Losses by 38% in FY25: API Holdings, the parent company of e-pharmacy and diagnostics brand PharmEasy, reported flat revenue in FY25, with operating revenue increasing 3.7% to Rs 5,872 crore. However, the company managed to narrow its losses significantly by 38% to Rs 1,572.3 crore (from Rs 2,533.5 crore in FY24), primarily due to reductions in finance and depreciation costs. Employee benefit expenses increased by 30%. The company's subsidiary, Thyrocare, saw a 20% revenue increase and 30% profit growth in FY25.
• PhysicsWallah Files for Rs 3,820 Crore IPO, Reduces Burn by 78.5%: Edtech unicorn PhysicsWallah (PW) filed draft papers with SEBI for an Initial Public Offer (IPO) to raise Rs 3,820 crore. The IPO includes a fresh issue of Rs 3,100 crore and an offer-for-sale of Rs 720 crore by its co-founders. In FY25, PW's operating revenue grew nearly 49% to Rs 2,887 crore, driven by strong growth in both online and offline coaching segments. Crucially, the company reduced its burn by 78.5% to Rs 243 crore and reported a positive EBITDA of Rs 192.5 crore. The company's offline Average Revenue Per User (ARPU) improved to Rs 40,405. PW plans to use IPO proceeds for capital expenditure, lease payments, acquisitions, and marketing initiatives.
• Indifi’s Revenue Grows 22% in FY25; Reports Rs 107 Crore EBITDA: Gurugram-based MSME focused lender Indifi Technologies reported a 22% year-on-year growth in its operating revenue to Rs 360 crore in FY25 from Rs 294 crore in FY24. While the firm reported a net loss of Rs 45 crore in FY25 due to provisioning-led losses and accounting changes, its EBITDA increased to Rs 107 crore in the last fiscal year compared to Rs 90 crore in FY24. Indifi expects to return to profitability starting Q2 FY26 and is expanding its product portfolio with D2C loans, supply chain finance, and newly launched secured lending.

Conclusion

This week’s developments underline the resilience and dynamism of India’s financial ecosystem. A modest rebound in stock market participation, record-breaking UPI volumes, and fresh competition among digital platforms signal a rapidly evolving consumer and investor landscape.

Significant funding rounds—from OneAssist and Flipspaces to AJVC and Venture Catalysts—demonstrate strong investor confidence in sectors ranging from post-sales services and prop-tech to AI and EV components. On the public markets side, Urban Company’s anchor allocation, PayU’s pre-IPO fundraising plans, and PhysicsWallah’s IPO filing highlight robust IPO activity and long-term growth prospects.

Meanwhile, the government’s green hydrogen scheme underscores India’s commitment to sustainability and innovation. Companies like PharmEasy and Indifi Technologies, with their improved financial metrics, further emphasize a shift toward profitability, operational efficiency, and strategic expansion.

Overall, these trends reflect a market that remains adaptive, opportunity-rich, and primed for growth, making this an exciting time for entrepreneurs, investors, and businesses seeking to tap into India’s financial potential.