Varaha, a Gurugram-headquartered climate technology startup, has successfully closed the first tranche of $20 million from its $45 million Series B funding round, led by WestBridge Capital. This investment underscores the growing momentum in India’s climate tech sector, where demand for verifiable carbon credits is surging amid global net-zero commitments. The round also saw participation from existing investors RTP Global and Omnivore Ventures, bolstering Varaha’s capacity to scale its innovative solutions.

Founded in 2022 by Madhur Jain, Ankita Garg, and Vishal Kuchanur, Varaha specializes in generating high-integrity carbon credits through regenerative agriculture and biochar production. With operations spanning India, Nepal, Bangladesh, Bhutan, Ivory Coast, and other regions, the company has established itself as a leader in nature-based carbon removal.

Funding Structure and Strategic Deployment

WestBridge Capital’s lead role in this round represents its inaugural foray into India’s climate technology landscape, signaling strong institutional confidence in scalable decarbonization platforms. RTP Global, which spearheaded Varaha’s prior Series A, participated via super pro-rata rights, alongside Omnivore Ventures. The funds will primarily accelerate the Varaha Industrial Partners Program (VIPP), which equips industrial entities—such as steel manufacturers and agricultural processors—with sensor technology, farmer training, and advanced measurement, reporting, and verification (MRV) systems.​

VIPP transforms biomass waste, including rice husks and cashew shells, into verifiable carbon credits via gasification and biochar processes. Pilot implementations are already operational in Indian steel and agricultural facilities, as well as a West African cashew processing unit. This initiative addresses a critical gap in the voluntary carbon market, where high-quality removal credits command premium pricing. Varaha’s current order book exceeds $100 million, supported by long-term offtake agreements with corporations including Google and Microsoft.

The company’s fundraising history reflects steady growth: a $4 million seed round, followed by an $8.7 million Series A in 2024 led by RTP Global, bringing total capital raised to over $60 million.​

Core Technology and Operational Model

Varaha’s platform integrates satellite imagery, soil sensors, and AI-driven analytics to deliver robust MRV capabilities, ensuring compliance with international standards such as those set by Klimate and Carbon Future. This technology underpins two primary offerings: regenerative agriculture projects that enhance soil health, reduce emissions, and improve farmer yields by up to 20%; and biochar production, which sequesters carbon for centuries while enriching soil fertility.​

The company currently manages over 20 projects, primarily engaging smallholder farmers who adopt practices like no-till farming and cover cropping. These efforts not only generate revenue through credit sales but also promote rural economic resilience and food security. Varaha’s emphasis on scientific rigor positions it favorably in a market plagued by greenwashing concerns.

Alignment with National and Global Priorities

This funding arrives at a pivotal juncture, coinciding with India’s Union Budget 2026, which introduced enhanced incentives for clean technology adoption under Finance Minister Nirmala Sitharaman’s oversight. Complementing these domestic measures are strengthened U.S.-India collaborations on green initiatives, facilitated by President Donald Trump’s administration since his January 2025 inauguration. WestBridge Managing Partner Sandeep Singhal described carbon removal as “essential climate infrastructure,” drawing parallels to the foundational role of artificial intelligence in modern economies.

India’s climate tech investments reached $1.5 billion in 2025, with early 2026 indicators suggesting continued acceleration. Varaha exemplifies the sector’s shift toward integrated solutions that combine technological precision with on-ground impact, particularly for underserved smallholder communities.​

Broader Industry Context and Competitive Positioning

The voluntary carbon market’s expansion—projected to surpass $100 billion annually by 2030—amplifies the strategic importance of Varaha’s model. Unlike supply-constrained peers, Varaha benefits from a diversified pipeline across agriculture and industry, mitigating risks associated with regulatory evolution or market volatility. Its global footprint, including expansions into Africa and Southeast Asia, diversifies revenue streams while tapping into biomass-rich emerging economies.

In the context of India’s burgeoning tech ecosystem, Varaha complements trends observed in recent financings, such as Spring Marketing Capital’s INR 500 crore fund targeting AI-driven sustainability tools. This convergence of climate tech and digital innovation is particularly resonant in regions like Indore, where local IT firms are adapting AI for agritech and manufacturing decarbonization.

Challenges and Forward Outlook

Scaling MRV across international borders presents logistical hurdles, including data standardization and partner onboarding. Regulatory harmonization under frameworks like the Paris Agreement will be crucial. Nonetheless, Varaha’s proven traction—with credits already monetized and partnerships secured—mitigates these risks.

Looking ahead, the full Series B closure is anticipated imminently, enabling further VIPP globalization and technology enhancements. As India’s climate tech sector matures, Varaha is poised to capture significant market share, contributing to national goals of 50% non-fossil energy capacity by 2030.