Varaha raises $20M to scale carbon removal from the Global South

Varaha, an India-based climate tech startup founded in 2022, has raised $20 million in fresh funding. The investment represents the first portion of a planned $45 million Series B round led by WestBridge Capital, with participation from existing investors RTP Global and Omnivore. The company, which develops projects to remove carbon dioxide from the atmosphere (carbon removal) and generates tradable certificates representing this removal (carbon credits), has established a diverse funding base to support its operations across Asia and Africa.

To date, Varaha’s total capital includes:

• About $33 million in equity financing
• $35 million in project financing
• $500,000 in grants

The startup is positioning itself as a lower-cost supplier for verified emissions reductions. It argues that its execution-focused model allows it to deliver carbon removal at a lower cost while meeting the same international verification standards as higher-priced competitors in Europe and North America. According to co-founder and chief executive Madhur Jain, high operating costs in wealthier geographies could make it difficult for developers there to survive as carbon credit prices face pressure. “So what matters the most is the execution,” Jain said. The startup generates and sells verified carbon removal credits through international registries, including Puro.earth, Isometric, Verra, Gold Standard, and Carbon Standards International.

To date, Varaha has removed more than 2 million tons of carbon dioxide across 14 active projects, generating around 150,000 carbon removal credits. The company currently operates across India, Nepal, Bangladesh, Bhutan, and Ivory Coast, working with about 170,000 to 175,000 farmers over roughly 1.7 million acres. It has signed long-term offtake agreements with global buyers including Google, Microsoft, Lufthansa, Swiss Re, and Capgemini. Financially, Varaha remains profitable after tax. It reported revenue of ₹430 million (about $4.76 million) last financial year and expects revenue to rise to nearly ₹1 billion (around $11.06 million) this year.

The fresh capital will be used to expand into new markets in South and Southeast Asia, including Vietnam and Indonesia, while deepening its presence in existing geographies. Varaha is also rolling out an Industrial Partners Program, currently operational with partners in West Africa and India, to generate biochar-based carbon removal credits. The company employs 225 to 230 people, including roughly 55 in technology, science, product, and data roles. More than 80% of its workforce is based in India, with additional staff located in Nepal, Germany, the U.S., and Australia. Sandeep Singhal, co-founder and managing partner at WestBridge Capital, noted that the firm believes Varaha is uniquely positioned to build a global carbon-removal platform from India that combines integrity, scale, and impact.

Why it matters

Varaha is positioning itself as a lower-cost supplier for verified emissions reductions, arguing that its execution-focused model allows it to deliver carbon removal at lower cost while meeting the same international verification standards as higher-priced competitors in Europe and North America.