Top Startup and Tech Funding News – October 16, 2025

It’s Thursday, October 16, 2025, and we’re back with the top startup and tech funding news stories shaping today’s innovation landscape. From billion-dollar fintech expansions to next-gen biotech breakthroughs and space robotics, investors showed no signs of slowing down.

Today’s highlights include Deel’s $300 million Series E at a $17.3 billion valuation, Upgrade’s $165 million pre-IPO financing, and Zepto’s $400 million late-stage round led by CalPERS. Across the Atlantic, French biotech Adcytherix raised €105 million to accelerate antibody-drug development, while Moroccan fintech Chari closed a $12 million Series A and became the first venture-backed startup in Morocco to secure a national fintech license. Early-stage activity also remained strong, with Woz, Avid, and Engagesoft all closing seed and pre-Series A rounds to bring AI innovation to app building, fundraising, and HR analytics.

Funding Highlights

• Deel raised $300 million in Series E funding at a $17.3 billion valuation to expand its global payroll infrastructure.

• Upgrade secured $165 million as it gears up for a public offering within the next 12–18 months.

• Zepto landed $400 million led by CalPERS to strengthen its quick-commerce operations in India.

• Adcytherix closed a €105 million ($122 million) Series A to advance next-generation cancer therapeutics.

• Chari raised $12 million to expand financial services for small retailers across North Africa.

Investor activity today spanned global markets — from Silicon Valley to Paris, London, Riyadh, and Casablanca — underscoring a broad and balanced flow of capital into AI, fintech, biotech, and space technology. Together, these rounds illustrate that even in a cautious global market, high-conviction bets on innovation remain stronger than ever.

Here’s the full breakdown. Until tomorrow, have a great evening.

Zepto Raises $400M in Funding to Fuel Quick-Commerce Growth

Indian quick-commerce startup Zepto announced a major funding infusion of $400 million led by new investor CalPERS (California Public Employees’ Retirement System). Existing backers, including Avenir, Avra, Lightspeed, Glade Brook, The Stepstone Group, and Nexus Venture Partners, also participated in the round.

The new capital will help Zepto scale its operations and further accelerate its mission in India’s burgeoning quick-commerce market. Zepto CEO Aadit Palicha noted the company has rapidly grown its order volume and plans to turn more dark stores profitable while continuing to expand its customer base. The company competes with rivals like Swiggy, Instamart, and BlinkIt, and aims for an eventual public listing after this funding round.

Funding Details:

• Startup: Zepto (Indian quick-commerce startup)

• Investors: California Public Employees’ Retirement System (CalPERS) (lead); Avenir, Avra, Lightspeed, Glade Brook, The Stepstone Group, Nexus Venture Partners

• Amount Raised: $400 million (primary & secondary)

• Total Raised: Not disclosed (recent spree including $1.3B last year)

• Funding Stage: Late-stage venture (primary/secondary round)

• Funding Date: October 16, 2025

Jack & Jill Raises $20M Seed Funding for AI-Powered Recruiting

London-based Jack & Jill has secured a $20 million seed funding round to launch its conversational AI job-hunting platform. The round was led by Stockholm’s Creandum with contributions from other investors (names not disclosed). Jack & Jill, co-founded by entrepreneur Matt Wilson, is building a two-sided platform using AI chatbots to streamline the hiring process.

The “Jack” side conducts AI-powered profile interviews with job seekers, while “Jill” creates detailed role profiles for employers to match candidates. With nearly 50,000 users already on its London platform, the company plans to use the new capital to expand to the U.S. and enhance its AI-driven matching and coaching features.

Funding Details:

• Startup: Jack & Jill (AI-powered recruiting platform)

• Investors: Creandum (lead) (EU VC); others not specified

• Amount Raised: $20 million

• Total Raised: $20 million (initial seed)

• Funding Stage: Seed round

• Funding Date: October 16, 2025

Deel Secures $300M in Series E Funding at $17.3B Valuation

San Francisco payroll platform Deel announced a $300 million Series E funding round led by Ribbit Capital, alongside Andreessen Horowitz and Coatue. The deal values Deel at $17.3 billion. Deel plans to use the capital for strategic acquisitions and to expand its global payroll infrastructure, targeting native payroll services in over 100 countries by 2029.

Despite ongoing litigation with rival Rippling, Deel has grown rapidly and reported crossing a $100 million monthly revenue mark in September 2025. The funding round underscores strong investor confidence in Deel’s mission to simplify global hiring and payroll compliance.

Funding Details:

• Startup: Deel (global payroll and hiring platform)

• Investors: Ribbit Capital (lead); Andreessen Horowitz; Coatue Management

• Amount Raised: $300 million

• Total Raised: Not disclosed (previous valuation was $12.6B earlier)

• Funding Stage: Series E

• Funding Date: October 16, 2025

Upgrade Raises $165M Round at $7.3B Valuation, Eyes IPO

Fintech startup Upgrade, co-founded by Renaud Laplanche, said it raised $165 million in new funding to strengthen its balance sheet as it prepares for an eventual IPO. The round was led by Neuberger Berman (whose head of specialty finance, Peter Sterling, joined Upgrade’s board), with participation from existing investors DST Global and Ribbit Capital.

The fresh capital values Upgrade at about $7.3 billion (pre-money), a 21.7% premium to its prior valuation. Upgrade plans to use the funding to bridge to an IPO in the next 12–18 months and to give liquidity to its team ahead of that exit. The consumer credit platform — known for credit cards and BNPL products — has disbursed over $42 billion to date, and this latest infusion reflects renewed investor interest in resilient fintechs.

Funding Details:

• Startup: Upgrade (consumer finance fintech)

• Investors: Neuberger Berman (lead); DST Global; Ribbit Capital

• Amount Raised: $165 million

• Total Raised: Not disclosed (prior rounds during the 2021 fintech boom)

• Funding Stage: Venture financing (pre-IPO growth round)

• Funding Date: October 16, 2025

Woz Raises $6M in Seed Funding for AI App-Building Platform

Woz, a Silicon Valley startup founded by MIT engineers Ben Collins and Brad Eckert, announced it closed a $6 million seed round led by Cervin Ventures. The fundraising will help Woz expand its AI-driven platform that combines machine learning with human expert oversight to build secure, scalable mobile business apps. Other investors in the seed round include Burst Capital, Y Combinator, Untapped Ventures, MGV, and the Lacob Family (Golden State Warriors co-owners).

Woz positions itself as distinct from one-off AI prototypes by delivering production-ready applications for startups and enterprises. The new funds will be used to accelerate product development and hiring, catering to growing demand for robust AI-assisted software development.

Funding Details:

• Startup: Woz (AI-driven mobile app development platform)

• Investors: Cervin Ventures (lead); Burst Capital; Y Combinator; Untapped Ventures; MGV; Lacob Family

• Amount Raised: $6 million

• Total Raised: $6 million (initial seed)

• Funding Stage: Seed round

• Funding Date: October 16, 2025

Space Quarters Raises $5M in Seed Funding for Robotic Space Construction

Deep-tech startup Space Quarters announced a $5 million seed funding round to advance its robotic space construction technology. Led by Frontier Innovations Inc., the round also included Keio Innovation Initiative, Global Brain’s Tokyu Construction–GB Innovation Fund, XTech Ventures, Mitsubishi UFJ Capital, and SMBC Venture Capital.

Founded in 2022, Space Quarters (originating from Tohoku University) develops modular assembly robots and electron-beam welding systems for building large structures in orbit and on the Moon. The new capital will expand the team, upgrade test facilities, and prepare for on-orbit and lunar demo missions targeted for 2027–2028.

By enabling in-space construction, Space Quarters aims to overcome launch-size limits and reduce costs for future infrastructure in Earth orbit and beyond.

Funding Details:

• Startup: Space Quarters (space construction robotics)

• Investors: Frontier Innovations (lead); Keio Innovation Initiative; Global Brain’s Tokyu Construction–GB Fund; XTech Ventures; Mitsubishi UFJ Capital; SMBC Venture Capital

• Amount Raised: $5 million

• Total Raised: $5 million (initial seed)

• Funding Stage: Seed round

• Funding Date: October 16, 2025

Basis Theory Raises $33M for AI-Powered Payments

Payments infrastructure provider Basis Theory has raised $33 million in a new funding round, according to a company press release. Costanoa Ventures led the financing, with participation from Stage 2 Capital and Moneta Ventures; existing backers including Bessemer Venture Partners, Kindred Ventures, BoxGroup and Offline Ventures also contributed. The round will be used to develop Basis Theory’s agentic AI and e-commerce payments capabilities for enterprise clients. Basis Theory, founded in 2020, claims the total raised is now about $50 million. The startup helps major tech and finance companies (e.g. Pinterest, MoneyGram) manage payment infrastructure, and it plans to expand its services internationally and add new AI-powered payment methods with this funding.

Funding Details:

• Startup: Basis Theory (payments infrastructure & AI commerce)

• Investors: Costanoa Ventures (lead); Stage 2 Capital; Moneta Ventures; Bessemer Venture Partners; Kindred Ventures; BoxGroup; Offline Ventures

• Amount Raised: $33 million

• Total Raised: ~$50 million (cumulative)

• Funding Stage: Growth-stage venture round

• Funding Date: October 16, 2025

Brook.ai Raises $28M in Series B Funding for Remote Healthcare

Seattle-area healthtech startup Brook.ai announced a $28 million Series B funding round to expand its AI-powered remote care platform. The round was co-led by UMass Memorial Health and Morningside Ventures. Brook.ai’s platform uses data analytics and clinician support to help manage chronic diseases like heart failure from home, reducing readmissions.

The company has seen rapid growth (204% patient growth year-over-year) and will use the new capital to scale its product and customer support as more providers adopt remote monitoring. Founded in 2015, Brook.ai is now applying its AI engine to a broader set of chronic care workflows and plans to deepen integrations with healthcare systems.

Funding Details:

• Startup: Brook.ai (AI-driven remote care platform)

• Investors: UMass Memorial Health (lead); Morningside Ventures

• Amount Raised: $28 million

• Total Raised: Not disclosed (previous rounds not public)

• Funding Stage: Series B

• Funding Date: October 16, 2025

OneLayer Raises $28M in Series A Funding to Secure Private 5G/4G

OneLayer, a Boston startup providing enterprise management for private LTE/5G networks, announced a $28 million Series A round led by Maor Investments. The round also included McRock Capital, Chevron Technology Ventures, and existing investors Viola Ventures, Grove Ventures, and Koch Disruptive Technologies.

This financing brings OneLayer’s total funding to over $43 million and will be used to enhance its platform as companies deploy private cellular networks in industrial settings. OneLayer’s software converts cellular network data into familiar IT formats, enabling utilities, manufacturing, mining, and other industries to secure and manage thousands of IoT devices on private 4G/5G networks. The new funding will help OneLayer accelerate its go-to-market efforts amid surging interest in private cellular connectivity.

Funding Details:

• Startup: OneLayer (private LTE/5G management & security)

• Investors: Maor Investments (lead); McRock Capital; Chevron Technology Ventures; Viola Ventures; Grove Ventures; Koch Disruptive Technologies

• Amount Raised: $28 million

• Total Raised: $43 million (total to date)

• Funding Stage: Series A

• Funding Date: October 16, 2025

Chari Raises $12M in Series A Funding, Secures Fintech License

Moroccan fintech Chari, which operates a B2B e-commerce platform for small retailers, has raised $12 million in Series A funding. The round was led by SPE Capital and Orange Ventures. Notably, Chari also became the first venture-backed Moroccan startup to receive a fintech operating license from the central bank (Bank Al-Maghrib) in conjunction with this round.

The new funds (bringing Chari’s total funding to $17 million) will be used to expand its product offerings into digital financial services— including bank accounts, payments, and debt—turning its merchant app into a “super app” for neighborhood stores. Chari was founded in 2020 and aims to modernize how local shops in Morocco manage inventory, payments, and commerce through its integrated platform.

Funding Details:

• Startup: Chari (Moroccan fintech and merchant platform)

• Investors: SPE Capital (lead); Orange Ventures (co-lead); Global Founders Capital; Plug and Play; Endeavor Catalyst; Verod-Kepple Africa Ventures

• Amount Raised: $12 million

• Total Raised: $17 million (total including previous)

• Funding Stage: Series A

• Funding Date: October 16, 2025