In a significant boost for India's agricultural technology sector, integrated grain commerce platform Arya.ag has successfully secured ₹725 crore in a fresh equity funding round. The investment was spearheaded by the climate-focused private equity firm, GEF Capital Partners.
Strategic Capital for Expansion and Technology
The newly acquired capital is earmarked for a dual purpose. Primarily, Arya.ag plans to deepen its engagement with the farming community across India. Secondly, the funds will fuel the expansion of its technology-driven, climate-resilient agricultural practices. This move underscores the company's commitment to building a sustainable and efficient farm ecosystem.
This funding milestone arrives nearly three years after the startup's Series C round, where it raised $60 million from investors including Asia Impact SA, Lighrock India, and Quona Capital. That round had valued the New Delhi-based company at ₹2,200 crore.
"The current funding has taken place at a premium to the previous valuation," revealed Prasanna Rao, co-founder of Arya.ag. He added that with this infusion, GEF Capital Partners becomes one of the largest investors in the company, acquiring a mix of new and existing shares.
IPO Readiness and Robust Financial Growth
The investment is strategically aligned with the company's public market ambitions. Rao explicitly stated that the objective is to scale operations to become "IPO-ready in 15-20 months." This goal is backed by strong financial performance. In the first half of fiscal year 2026, Arya.ag reported a net revenue of ₹300 crore, marking a 28% year-on-year increase. Profits for the same period surged by 39% to ₹31.5 crore.
Furthermore, the company has set aside a strategic pool of up to $6 million for technology investments and potential acquisitions, building on its 2022 purchases of data science firm Prakshep and SaaS company Assert AI. Avendus Capital served as the exclusive financial advisor for this equity round.
Building a Climate-Smart Agricultural Network
Arya.ag operates as a comprehensive platform that connects farmers with essential services at the farmgate level. Its offerings span storage, finance, and market linkages. The company positions itself as a key partner for financial institutions, agri-businesses, and Farmer Producer Organizations (FPOs) aiming to foster a climate-smart agricultural ecosystem.
The platform's extensive network is a testament to its scale. It currently reaches 60% of India's districts and manages a network of 12,000 agricultural warehouses. These facilities aggregate and store grain worth an impressive $3 billion annually. Beyond storage, Arya.ag has also facilitated the disbursement of more than $1.5 billion in loans to smallholder farmers and other stakeholders in the agricultural value chain.
The lead investor, GEF Capital Partners, is a private equity fund established in 2018 that focuses on climate growth opportunities in the middle-market segment, making it a fitting partner for Arya.ag's mission-driven expansion.
