Daily Indian Funding Roundup & Key News - 23 April 2026: LightFury Games Nets $11 Mn, M Raises ₹102 Cr Seed Round
Indian startups drew capital across gaming, AI cybersecurity, textile tech, and consumer AI on Wednesday. The day's headline raise came from Bengaluru-based game studio LightFury Games, which secured $11 million (~₹103 crore) in a pre-Series A round led by Blume Ventures, V3 Ventures, MIXI, and Times Internet, with participation from several Indian cricket stars. The funds will be used to complete development of its flagship title, eCricket, and to build its live operations stack, including post-launch content pipelines.
On the business front, UPI transactions hit an all-time high in March at 2,264 Cr. Amazon India unveiled a massive infrastructure investment, and Razorpay deepened its cross-border payments capabilities with a new Google Pay integration.
Daily Indian Startup Funding Roundup - 23 April 2026
| STARTUP | SECTOR | FUNDING | ROUND | LEAD INVESTORS |
|---|---|---|---|---|
| LightFury Games | Gaming / Game-Tech | $11 Mn (~₹103 Cr) | Pre-Series A | Blume Ventures, V3 Ventures, MIXI, Times Internet |
| M (Kabeer Biswas) | Consumer AI / Home Tech | ₹102 Cr (~$11 Mn) | Seed | Peak XV Partners, Blume Ventures, CRED |
| STCH | AI / Textile Manufacturing | $7 Mn (~₹66 Cr) | Pre-Series A | Omnivore |
| Deep Algorithm | AI Cybersecurity | ₹16 Cr | Pre-Series A | Unicorn India Ventures |
LightFury Games Raises $11 Mn in Pre-Series A Round
LightFury Games, a AAA-focused game-tech studio, has raised $11 million (approx. ₹103 crore) in a pre-Series A funding round led by Blume Ventures, V3 Ventures, MIXI, and Times Internet, with participation from Indian cricketers such as MS Dhoni, Jasprit Bumrah, Shreyas Iyer, Ravindra Jadeja, Tilak Varma, Sai Sudharsan, and Hardik Pandya.
Founded in 2024 by Karan Shroff, Anurag Banerjee, and Tina Balachandran, LightFury Games develops high-quality, mobile-first gaming experiences. Its Unreal Engine 5-powered title, eCricket, aims to deliver a competitive and immersive cricket gaming experience for a global audience. The game will feature tactical batting and bowling systems, physics-driven gameplay, AI commentary, and broadcast-style presentation, and is slated for release in 2026 on mobile platforms. The Bengaluru studio had previously raised $8.5 million in a seed round in April 2024, also led by Blume Ventures.
STCH Raises $7 Mn Led by Omnivore
STCH, an AI startup focused on fabric development and textile manufacturing, has raised $7 million (around ₹66 crore) in a pre-Series A round led by Omnivore, with participation from Kae Capital and WVC. The proceeds will be used to expand its AI capabilities, build a fabric R&D lab, deepen manufacturing partnerships, and scale delivery across key markets.
Founded in 2025 by former Zetwerk executives Narahari Payala and Aseem Chitkara, STCH operates a contract development and manufacturing (CDMO) platform for fashion businesses, focusing on fabric innovation and sourcing rather than consumer-facing AI use cases. Its platform analyses product images and descriptions to identify fabric specifications such as texture, weight, and finish, then helps recreate similar materials through local manufacturing partners. STCH claims it can take a fabric from concept to production in around 45 days, and works with brands mainly in the UK and Europe, with manufacturing carried out through partner factories across India and Bangladesh.
Deep Algorithm Raises ₹16 Cr in Pre-Series A Round
AI-driven cybersecurity and digital trust company, Deep Algorithms, has raised ₹16 crore in a pre-Series A round led by Unicorn India Ventures, with participation from SB Investment (UAE) and prominent angel investors. The capital will be deployed to expand into international markets, accelerate product development, and strengthen the platform with next-generation features to address evolving identity and AI-driven security needs.
Founded in 2021, Deep Algorithm operates on a B2B model, offering enterprise-grade security products such as adapID-AI, an adaptive behavioural intelligence identity engine that continuously models identity behaviour across systems, detecting compromised credentials, lateral movement, insider threats, and anomalous access before exploitation occurs. The company serves customers across the BFSI, Fintech, and enterprise sectors, including Canara Bank, Karnataka Bank, DCB Bank, CSB, and NCRTC. The firm recorded a 3X increase in closing ARR from FY25 to FY26 and expects to increase 20X by FY 2027.
Kabeer Biswas' M Raises ₹102 Cr from Peak XV, Blume, and CRED
Former Dunzo cofounder Kabeer Biswas' new startup, M, is looking to net ₹102 Cr (about $11 Mn) from Peak XV Partners, Blume Ventures, and fintech unicorn CRED in its seed funding round. As per MCA filings, Peak XV Partners led the round with a ₹46.4 Cr investment. Blume Ventures invested ₹37.1 Cr, while CRED poured in the rest of ₹18.6 Cr.
M was set up by ex-Swish head of business Kartik Mishra and Kabeer Biswas in December 2025. While details on the startup's business are scant, it is likely building tools to help people manage their homes by automating routine decisions, coordination, and everyday services. M's product offerings are yet to go live. The entrepreneurial pivot comes after Biswas' brief stint heading Flipkart's quick commerce vertical, Minutes, in 2025, and follows his earlier exit from Dunzo amid its ongoing insolvency proceedings.
Key Business News for 23 April 2026
PhonePe Tightens UPI Grip as Transactions Cross 1,000 Cr Mark in March
IPO-bound PhonePe retained its top position in the UPI ecosystem in March, with its transactions jumping 88% to 1,050 Cr from 928 Cr in February. The fintech giant processed transactions worth ₹14.48 Lakh Cr during the month, a rise of 90% from ₹13.1 Lakh Cr in February. UPI transactions touched an all-time high at 2,264 Cr last month, with the total value of transactions standing at ₹29.53 Lakh Cr.
Google Pay and Paytm followed PhonePe in the UPI ladder in March, with 753.5 Cr and 177 Cr transactions, respectively. Google Pay's market share declined to 33.5% from 34% in the previous month, while Paytm's market share also declined marginally to 7.9% from 8% in February. Smaller players like Navi, Flipkart's super.money, and FamApp all saw marginal upticks in their respective market shares during the month.
Amazon India to Invest ₹2,800 Cr to Boost Logistics and Quick Commerce
Amazon India has announced that it will invest ₹2,800 crore (about $300 million) to strengthen its infrastructure and operations across the country, as part of its previously stated commitment to invest $35 billion by 2030. A portion of this investment will be used to double the footprint of its quick commerce vertical, Amazon Now, which currently operates in Delhi NCR, Mumbai, and Bengaluru, supported by around 300 micro fulfilment centres.
In addition, the company will expand its pan-India ecommerce network, including warehouses and last-mile delivery stations, to improve delivery speeds. Amazon India also plans to deploy part of the new funds toward technology, including artificial intelligence and machine learning, within its operations network. The move comes months after a ₹2,000 crore investment in June 2025 that enabled the launch of 17 new fulfilment centres, six sortation centres, and 75 last-mile delivery stations across India.
Razorpay Partners with Google Pay to Enable Global Payments for Exporters
Razorpay has incorporated Google Pay to facilitate cross-border transactions, enabling Indian exporters to offer wallet-based checkout and improve payment success rates in global e-commerce. Indian companies can now accept payments from customers across the world through the integration, marking a first in the domestic payment aggregator space by providing a card-based wallet experience for international transactions.
With this integration, customers can complete payments with a seamless one-tap experience without having to input their credit card details or go through extra authentication procedures such as CVV, OTP, and manual entry. Razorpay International Payments operates on a Reserve Bank of India licence known as the Payment Aggregator Cross-Border (PA-CB), giving its innovations a strong compliance foundation. This launch expands upon Razorpay's previous integration with Apple Pay.
Muskaan Kapoor
