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India’s Varaha bags $20M to scale carbon removal from the Global South
Varaha, an Indian climate tech startup, secured $20 million to enhance its carbon removal efforts in the Global South. Part of a $45 million Series B round led by WestBridge Capital, the funding aims to leverage lower costs and strong agricultural supply chains to provide verified emissions reductions for global corporations, including tech giants like Google and Microsoft.
Key points
- Varaha raised $20 million from WestBridge Capital to scale carbon removal projects in the Global South.
- This funding is part of a larger $45 million Series B round, which signals investor confidence in climate tech.
- Varaha has raised a total of $33 million in equity and $35 million in project financing since its founding in 2022.
- The startup uses regenerative agriculture, agroforestry, biochar, and enhanced rock weathering to generate carbon credits.
- Varaha's operational model allows for lower production costs compared to competitors in wealthier markets.
- The company has already removed over 2 million tons of CO2 and has plans to expand into markets like Vietnam and Indonesia.
- Revenue is projected to rise significantly, from ₹430 million to nearly ₹2 billion due to growing demand for carbon credits.
Why it matters
- The investment in Varaha aligns with the rising trend towards carbon neutrality and sustainability amidst climate change concerns.
- India's growing role as a hub for affordable carbon removal solutions reflects a shift in global carbon credit landscapes.
- As companies face pressure to reduce emissions, innovative startups like Varaha are increasingly critical in the carbon markets.
Varaha's strategic funding and operational efficiency position it to significantly impact the carbon market globally, catering to an increasing demand for efficient carbon removal solutions amid a rapidly evolving climate technology landscape.