In Aug 2025, the company had raised Rs 70 crore ($8.2 million) funding from existing investor Spectrum Impact, along with a group of angel investors and company promoters.

The company's board has approved the issuance of 113,306 Non-Cumulative Compulsorily Convertible Preference Shares (NCCCPS) at an issue price of Rs 2,648 per share to raise the capital, according to its regulatory filings accessed by Entrackr.

In a separate resolution, the board also approved the issuance of 500 non-convertible debentures (NCDs) with a face value of Rs 1 lakh each to Varanium Venture, raising an additional Rs 5 crore.

Pooja Unichem LLP invested Rs 22.40 crore in the round, followed by Rajeev Kumar with Rs 3 crore, Ashish Kumar with Rs 2 crore, and Karma Capital Advisors Private Limited with Rs 1 crore. Better Advisors LLP and Shridhar Shukla infused Rs 50 lakh each, while Amitabha Mukhopadhyay and Lexcelon Corporate Advisors Private Limited invested Rs 25 lakh each. Ratnaprabha Mahendra Shukla, Shubham Khandelwal, and Aruna Khandelwal collectively contributed Rs 10 lakh.

As per Entrackr's estimates, the company's valuation increased to approximately Rs 638 crore, up 21.5% from its previous valuation of around Rs 525 crore. The proceeds from the issue will be used to support the company's growth plans.

Founded in 2020, BiofuelCircle is a digital marketplace for biomass and biofuels that connects farmers, suppliers, and industries. Working on a subscription and transaction model, it enables price discovery, logistics, and trade finance while helping farmers monetize agri-residue.

While the Pune-based company is yet to file its FY26 financials, its operating revenue rose to Rs 50.7 crore in FY25 from Rs 29 crore in FY24. During the same period, its losses increased to Rs 6.51 crore from Rs 4.9 crore.