Bengaluru-based water technology startup DrinkPrime has raised Rs 20 crore in a fresh funding round led by Artha Venture Fund and Mirabilis Investment Trust. The investment has been made at nearly a 30% valuation premium, highlighting growing investor confidence in the company’s subscription-based water purification model.
As per regulatory filings, the company’s board approved the allotment of 21,718 Series A3 compulsorily convertible preference shares along with a small number of equity shares at an issue price of Rs 9,205 per share. Through this move, DrinkPrime successfully secured Rs 20 crore to support its business expansion and operational growth.
Both Artha Venture Fund and Mirabilis Investment Trust invested Rs 10 crore each in the latest round. The company plans to use the fresh capital to strengthen its technology infrastructure, improve product offerings, and expand its reach in India’s fast-growing home water purification market.
Valuation rises significantly
Following the new funding round, DrinkPrime’s valuation has increased to around Rs 340 crore (approximately $37 million). This marks a notable rise from its earlier valuation of around Rs 261 crore, reflecting a 30% jump.
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After the allotment of shares, Artha Continuum Fund and Mirabilis Investment Trust will hold about 2.94% stake each in the company on a fully diluted basis. The valuation jump signals rising interest among investors in startups offering essential household services through technology-driven models.
Subscription model and financial growth
Founded in 2016 by Vijender Reddy Muthyala, Christopher Coelho, and Nayan Bheda, DrinkPrime provides IoT-enabled water purifiers through a subscription-based model. Instead of purchasing expensive purification systems, customers can access the service through affordable monthly plans.
The company has also reported strong financial growth. DrinkPrime’s operating revenue grew by 54%, reaching Rs 72.13 crore in FY25 compared to Rs 46.81 crore in FY24. Meanwhile, its losses reduced to Rs 11.53 crore from Rs 14.14 crore during the same period.
With fresh capital and improving financial performance, DrinkPrime aims to expand its footprint and continue building technology-driven solutions for safe drinking water in Indian households.