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Startups brace for funding surge in 2024, says report

Economic Times

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According to a report by Bain & Company and Indian Venture and Alternate Capital Association (IVCA), startups that raised significant funding in 2020 and 2021 could seek new funding rounds in 2024. This could drive growth in venture capital investment activity. The report also suggests that risk-capital investors may turn to more traditional businesses to diversify their investments. The number of mega funding rounds decreased in 2023 due to deferred fundraising and rising interest rates. However, the report predicts an increase in investment activity and a growing interest in traditional sectors in 2024. Additionally, generative artificial intelligence and electric mobility sectors gained momentum in 2023. Exits from investments also increased, with non-IPO public market sales being the primary exit route.

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