Category: Startup

Startup Digest: OLA Cabs CEO quits; Co to lay off 10% of its employees, Oister Global launches ₹440 crore fund

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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OLA Cabs CEO quits; Co to lay off 10% of its employees: Sources

Ola Cabs CEO Hemant Bakshi has resigned from his position just after four months of joining. The firm is also likely to lay off over 200 or 10% of its employees in a restructuring move, sources told CNBC-TV18. 

Bakshi had joined the ride-hailing firm in January to take care of day-to-day operations. Ola Cabs founder Bhavish Agarwal continues to be the chairman and managing director.

The announcement comes just a few weeks after Ola Cabs initiated preliminary discussions with investment banks for an IPO.

Oister Global launches ₹440 crore fund to fuel India’s consumption boom and sunrise sectors

Homegrown investment firm Oister Global has announced a ₹440-crore fund that aims to fuel emerging tech-led innovations and sunrise sectors in India. The fund includes a ₹190 crore greenshoe option and will target investments across early, growth and late-stage Venture Capital and Private Equity funds

Oister aims to inject ₹4,500 cr into India’s VC/PE ecosystem in 2 years and plans to launch a private credit fund in the next quarter. Oister has previously invested in Blume Ventures and Stride Ventures. 

“Oister Global’s new fund is strategically designed to capitalize on India’s consumption-driven growth,” said Rohit Bhayana, co-CEO and co-Founder. “Oister India Pinnacle Fund is a versatile blend of venture capital, growth equity, and private equity, enabling us to capture value across various stages of a company’s lifecycle. This approach ensures strategic diversification, enabling Oister to capture opportunities across the entire spectrum of India’s dynamic startup ecosystem. Additionally, it allows us to reinforce success by providing follow-on capital to portfolio winners.”

PayU backs cross border payments platform BRISKPE

BRISKPE, a cross-border payments platform, has received $5 million in a seed round from PayU, the payments and fintech business of Prosus. 

The startup will use funds to drive product development, talent acquisition, and business expansion for the cross-border payment startup, empowering Indian businesses to advance on their global journey, it said in a statement. 

“At BRISKPE, we’re leveling the playing field for local businesses. We envision a future where international trade is as simple as local commerce, empowering every Indian business to thrive globally,” said Sanjay Tripathy, Co-Founder and CEO of BRISKPE. 

Assert AI raises $4 million in Series A funding round 

Assert AI, a computer vision SaaS company, has bagged $4 million in Series A funding round, led by investors including Ramesh Hariharan (ex-CTO and Co-founder of LatentView), Prashant Purker (former MD and CEO of ICICI Venture), Arya.ag (India’s largest integrated grain commerce platform), and others. 

The startup which has operations in India, the US and the Middle East, will use the funds to expand further into key global markets and bolster its presence in essential markets. The fresh capital will also be used to enhance research and development efforts, and continue pioneering new advancements in Computer Vision technology, the firm said in a statement. 

“This investment reflects the confidence of our investors in Assert AI’s vision and potential. It will fuel our expansion efforts and accelerate the development of innovative AI Vision solutions that drive value for our clients globally,” said Job Philip, CEO of Assert AI. 

Reelo raises $1 million from Gokul Rajaram

Customer loyalty and marketing automation startup Reelo, has secured $1 million in a fresh funding round led by Gokul Rajaram (a Board member at Pinterest and Coinbase).

The new round of funding will enable Reelo to bring enterprise-level data analytics and AI marketing technology to underserved small and mid-market restaurant and retail businesses, a statement said. 

Within just three years of launching the product, Reelo claims to have grown 3X year on year, onboarded over 17,000 businesses in India, the Middle East and Africa and engaged over 16 million customers. 

CII launches corporate governance charter for startups

Industry body CII has launched a charter for startups that enlist voluntary recommendations on corporate governance keeping in view unique nuances to govern startups. The Corporate Governance Charter also prescribes guidelines appropriate for startups based on the specific stages of their life cycle.

“This charter is designed for entities incorporated under the Companies Act, 2013 only, and therefore the term ‘Startup’. However, entities which are in the nature of sole proprietorship, limited liability partnership, partnerships may adopt similar structures/ guidelines for corporate governance within their organisation,” the CII stated.

The purpose of this charter is to help startups become responsible corporate citizens and also enable them to share it with their stakeholders to establish themselves as being well-governed, it said.

Settl clocks ₹33 crore in revenue in FY24, expands footprint to 4,000 beds 

Co-living startup Settl has announced that it clocked strong growth in FY 23-24, with its revenue soaring 100% to reach ₹33 crore at the end of March 2024, compared to ₹15.5 crore at the end of March 2023. 

The startup said it also expanded its operational bed capacity by 100% to reach 4,000 beds across Bengaluru, Hyderabad, Chennai and Gurugram. This marks a jump from the 2,000 beds the Bengaluru-headquartered company operated in the previous year, the firm said. 

“Tech hubs like Bengaluru, Chennai, Gurugram and Hyderabad, are witnessing a surge in demand for co-living spaces from young professionals and students. MNCs as well as domestic companies setting up shop in these cities are fueling this even further.  The young generation craves a comfortable, connected lifestyle, and co-living offers exactly that,” said Abhishek Tripathi, Founder, Settl. 

SKIL surpasses ₹100 crore turnover, achieves 50% year-on-year growth

SKIL, a homegrown comprehensive travel solutions brand, said it has surpassed ₹100-crore turnover mark, reaching a total turnover of ₹113 crore. With 19 crore attributed to Hotels, Flights and Visa services, SKIL Travel claims to have facilitated over 37,500 room nights, both domestically and internationally for their corporate clients. 

The company’s transportation services arm CABI has generated 47 crore in revenue, with over 100,000 car bookings completed, it said. Events has contributed another 47 crore to its turnover in the MICE segment, overseeing a diverse range of events. SKIL Events planned and executed more than 2,000 corporate events in FY24.

The company scaled up from 40 employees in 2022 to 140 currently and is currently serving over 230 cities with its car rental business. 

GLOBAL TECHNOLOGY & STARTUP NEWS 

Apple’s iPadOS subject to tough EU tech rules

Apple’s operating system for iPads has been designated as a gatekeeper under the bloc’s landmark tech rules by EU antitrust regulators because of its importance to business users, the European Commission said.

Under the Digital Markets Act which came into force this year, 22 services owned by Apple, Alphabet’s Google, Microsoft, Amazon, Meta Platforms and TikTok owner ByteDance have already been labelled gatekeepers which control access to their platforms.

The European executive’s decision followed an investigation launched in September last year. Apple’s operating system iOS, its browser Safari and its App Store were designated gatekeepers last year.

EU to probe Meta over handling of Russian disinformation: Report

European Union regulators are expected to open a probe into Meta Platforms over concerns that the company is failing to do enough to counter disinformation from Russia and other countries, the Financial Times reported. 

Regulators suspect that Meta’s content moderation does not go far enough to stop the dissemination of political advertising that risks undermining the electoral process, the report said. 

But the European Commission is not expected to single out Russia in its statement, expected as soon as Monday, and will only refer to manipulation of information by foreign actors, the report said.

OpenAI’s ChatGPT targeted in Austrian privacy complaint

Microsoft-backed startup OpenAI has found itself the target of a privacy complaint by advocacy group NOYB for allegedly not fixing incorrect information provided by its generative AI chatbot ChatGPT that may breach EU privacy rules. 

ChatGPT, which kickstarted the GenAI boom in late 2022, can mimic human conversation and perform tasks such as creating summaries of long text, writing poems and even generating ideas for a theme party.

NOYB said the complainant in its case, who is also a public figure, asked ChatGPT about his birthday and was repeatedly provided incorrect information instead of the chatbot telling users that it does not have the necessary data.

Elon Musk pursues self-driving approval on China trip as Tesla wins key endorsement

Elon Musk pushed for China’s approval for Tesla to roll out advanced driver-assistance systems in a whirlwind trip to Beijing that ended on Monday, a step that could boost revenues at a time when Tesla is under pressure from Chinese rivals. Tesla CEO Musk arrived in the Chinese capital on Sunday where he was expected to discuss the rollout of Full Self-Driving (FSD) software and permission to transfer driving data overseas, Reuters reported. 

His meetings included one with Chinese Premier Li Qiang, who praised Tesla’s development in China as a successful example of the US-China economic and trade cooperation though state media did not say if the two had discussed FSD.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Deep Tech, Gen AI and Climate Tech to be the big focus for early stage investors in 2024: Report

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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About 77% of Indian investors expect higher deal flow in 2024 with a closer focus on DeepTech, Gen AI and Climate Tech. This, after early-stage investments, saw the lowest deal volumes in four years, but with increased ticket sizes and valuations, according to a report by leading venture lending platform InnoVen Capital.

According to the report, B2B platforms, consumer tech and AI saw the highest interest in 2023 and agritech, e-commerce and gaming saw slower deal activity.

“In 2024, we anticipate the early-stage funding environment to improve, with higher focus on emerging sectors like Gen AI, Deep Tech, and Climate Tech. However, investors will have a bias for sustainable business models, experienced founding teams and will do more extensive due diligence”, said Tarana Lalwani, Partner at InnoVen Capital India

The valuation for seed and pre-A rounds saw an increase in 2023 and 41% of deals were valued at more than $10 million, which is 20% higher than in 2022. About 45% of funding had a 100% domestic capital base compared to 20% in 2022.

Investors continue to bet on experienced founding teams. Close to 27% of investors made over 30% of new investments in companies with repeat founders compared to 20% in 2022.

The main reason for governance failures in startups over the last couple of years was insufficient oversight and monitoring by the board. “Over-indexing on being founder friendly, ignoring red flags, lack of a strong CFO and weak management teams were among the other key reasons cited”, said the report.

Early-stage deal flows continue to be the highest in Bengaluru and Delhi NCR, followed by Chennai, Pune and Hyderabad.

Also Read: Elevating India’s Startups: The journey from vision to unicorn with Leap to Unicorn Season 2

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Oister Global launches ₹440 crore fund to boost India’s VC/PE ecosystem

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Investment firm Oister Global, on Monday, initiated investments worth ₹440 crore through its Oister India Pinnacle Fund (OIPF) to fuel emerging technology-led innovations and various sunrise sectors in the country.

The ₹440 crore fund, which includes a ₹190 crore greenshoe option, aims to invest in fund houses across early (pre-Series A, Series A), growth (Series B, C), and late-stage (Series D onwards) venture capital and private equity funds.

Oister Global is a Gurugram-based investment firm that invests in top-tier alternative asset investment vehicles and aims to invest in a curated selection of top-tier alternative funds in the country.

Rohit Bhayana, Co-CEO and Co-Founder of Oister Global, in a company statement, said, “Oister India Pinnacle Fund is a versatile blend of venture capital, growth equity and private equity, enabling us to capture value across various stages of a company’s lifecycle. This approach ensures strategic diversification, enabling Oister to capture opportunities across the entire spectrum of India’s dynamic startup ecosystem.”

Also Read: Elon Musk is not the only one pouring more money on electric cars

Bhayana has a rich history of leadership roles. Before Oister Global, he co-founded Lumis Partners in September 2006 and continues to be a managing partner there. Before his entrepreneurial journey, Bhayana spent over 8 years at General Electric.

He held various positions there, starting as a Program Manager in 1998, then as a Senior Director of Global Outsourcing from February 2000 and finally as CEO of General Electric’s Software Solutions from November 2002 to August 2006.

The goal of the Oister India Pinnacle Fund (OIPF) is to support both established consumption-driven sectors and emerging technology-led innovative sectors, the statement said.

As India’s economy diversifies and per capita incomes increase, the expanding consumption sector presents new investment opportunities, it added. With disposable incomes growing at 8% in FY24 and 13.3% the previous year, India’s burgeoning middle class is driving the consumption landscape. Coupled with advancements in deep tech and climate tech, this growth offers opportunities for AIFs to invest in innovative brands catering to evolving consumer preferences.

Oister Global claims that since its inception, it has aimed to identify and back top-tier fund managers with attributable track records. Oister’s former investments include marquee funds like Blume Ventures and Stride Ventures.

Oister Global plans to inject ₹4,500 crores into India’s VC/PE ecosystem over the next two years and launch a private credit fund in the next quarter.

Also Read: Maruti Suzuki will have to offer more discounts, says analyst after Q4 results miss estimates

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

PayU invests $5 million in cross-border platform BRISKPE to simplify global payments for MSMEs

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Online payments service provider PayU, on Monday, announced a seed funding of $5 million in BRISKPE, a Mumbai-based cross-border payments platform working on streamlining international payments for Micro, Small, and Medium Enterprises (MSMEs).

PayU’s investment reflects a shared commitment to support the government’s target of achieving $2 trillion in exports by 2030. The collaboration with BRISKPE aims to simplify cross-border transactions for various business segments while adhering to regulatory standards.

BRISKPE was founded by financial services industry veterans and is led by CEO Sanjay Tripathy (Ex HDFC Life CMO); CPTO Nilesh Pathak (Ex NIUM CTO) and COO Indunath Chaudhary (Ex Citi and ICICI Bank).

Vijay Agicha, Chief Investment Officer at PayU, expressed enthusiasm about the partnership, highlighting BRISKPE’s alignment with PayU’s cross-border payment strategy and focus on compliance. “With BRISKPE’s top-notch management team, expertise in digital-first business models and banking systems, we’re excited to actively participate in shaping their future growth,” he said.

Sanjay Tripathy, Co-Founder and CEO of BRISKPE, echoed Agicha’s sentiments, emphasising the shared vision of transforming global payments for small businesses. “This partnership is a major step forward in simplifying cross-border transactions for MSMEs, allowing them to expand on a global scale. At BRISKPE, we are committed to making international trade as easy as domestic transactions. Our innovative solutions empower local businesses to thrive in the global marketplace,” he added.

As one of 30 early-stage fintech startups in PayU’s inaugural accelerator programme, inFINity, BRISKPE is poised to leverage the resources and expertise offered by PayU to drive its future growth.

Also Read: Norwest VP launches $3 billion new fund to back early & growth stage startups

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Japan’s oldest VC firm eyes 200% gain as unicorns proliferate

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Japan’s oldest venture capital firm is closing in on a target to triple the value of its investment, a sign of resurgence in the country’s startup ecosystem.

Jafco Group Co. expects its newest SV7 fund’s total value to surpass paid-in capital by 2.5 times, as more portfolio companies go abroad, fetching higher valuations. The early-stage investor, which also backs unicorn-in-waiting Astroscale Holdings Inc., is pushing to lift the fund’s performance to a 200% return or more, which the 51-year firm sees as a prerequisite to compete for attention with big-league VCs abroad, Chief Executive Officer Keisuke Miyoshi said.

Jafco, which has backed more than 4,100 startups including SoftBank Group Corp.’s earlier iteration, is considering launching a Japan fund of at least ¥100 billion ($640 million), with fundraising to begin as early as next year. Jafco now oversees about ¥466 billion in assets.

The Tokyo-based investor is getting a lift from a growing pipeline of potential unicorns in the country. New pools of younger entrepreneurs and highly-talented workers from big-name firms are joining the ecosystem, bringing with them mindsets that have been lacking in Japanese startups, Miyoshi said in an interview.

“There’s a surge in the number of startups that are targeting market caps from several tens of billions of yen to more than 100 billion yen when they go public,” he said. “Japan is changing rapidly, with transformation occurring everywhere.”

Escalating geopolitical tensions, a cheap yen and low-cost financing are fueling that shift, directing overseas money away from China. At home, Prime Minister Fumio Kishida’s push to funnel more of the country’s savings into investments is beginning to bear fruit. That push includes a goal to encourage billions of dollars of investment into young companies and create 100,000 new startups and 100 unicorns by 2027.

At the same time, more entrepreneurs in Japan are recruiting foreign workers with a goal to expand globally. That’s helping them better assess overseas competition, prompting them to seek bigger growth and loftier valuations and avoid premature IPOs at home, Miyoshi said.

For years, most Japanese startups targeted their home market and struggled to attract global investors. The country’s risk money also was slow to flow into unproven companies, prompting most young companies to go public while still in early stages of growth. Japan’s securities laws make it easy for such companies to hold initial public offerings, contributing to the paucity of private companies that reach unicorn status and limiting VC returns.

A net multiple of 2.5 times at Jafco’s SV7 fund is modest by global standards, but would be among the highest returns at VC funds of comparable size incepted since 2010, according to data as of May last year compiled by private market research firm Preqin. The fund’s life ends in 2032.

“Japanese funds tend to be small in size, with a lot of the investments concentrated in early, seed-stage funding rounds,” said Shinichiro Shiraki, director at Japan Venture Capital Association.

As of October, Japan had seven privately-held companies valued at $1 billion or more, compared with 653 in the US, according to data compiled by CB Insights. China had 172, while India had 71.

Fund performance depends heavily on equity markets at the time of exit. Besides space debris collector Astroscale, Jafco’s also invested in jobs search platform Timee Inc., cooking recipe provider Dely Inc. and recycling tech developer Jeplan Inc.

Founded in 1973, Jafco typically seeks a 10% to 20% stake in companies. It’s now taking a more hands-on approach than in the past to boost returns and has helped companies it backs expand business and hire talent, according to Miyoshi.

“We’ll be using 50 years of Jafco’s networking and know-how to their fullest,” he said. “We want to demonstrate that the startup space is a compelling place to invest.”

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Pocket FM: Redefining audio storytelling

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Pocket FM, isn’t just another streaming service, it is a game changer. The brainchild of Rohan Nayak and Nishanth KS alongside their tech partner Pratik Dikshit, Pocket FM promises to be one with blockbusters like Saving Nora, and Insta Millionaire racking up nearly 2 billion views and a staggering $50 million at the box office.

However, there is a twist. One won’t find these hits on Netflix or Prime video. They are exclusively on Pocket FM, an Indian audio series platform, that is taking the global stage by storm and is attempting to rewrite the rules of the over-the-top (OTT) game.

Founded in 2018, the platform is evolved into a power house boasting over 100,000 hours of audio content, over 2,000 exclusive series in a diverse range of languages including Spanish and German. Pocket FM’s reach isn’t limited to India.

With over a 130 million listeners worldwide including 10 million dedicated fans in the US, the platform’s annual revenue skyrocketed from zero to over $150 million in just two years and $100 million of that comes from non-diaspora audiences in the US alone.

Also Read | Pocket FM raises $103 million to up its tune in the US, Europe and LATAM markets

Indian entrepreneurs are certainly building consumer products that don’t exist anywhere else and Pocket FM is playing the conductor of the building from India from the world symphony.

But Pocket FM faced its fair share of challenges especially when it comes to monetisation yet with bold moves like microtransactions, unprecedented in the entertainment world, the startup has thrived witnessing over 20 million transactions globally in 2023 alone.

Also Read | Pocket FM launches Pocket Novel, aims to become India’s largest online reading platform

The journey is just starting with the recent $100 million funding led by Lightspeed. Pocket FM is gearing up for its next chapter strengthening its foothold in the US market and expanding into Europe and Latin America – that is just the beginning.

What’s next on the playlist for Pocket FM? Young Turks’ Shereen Bhan spoke with Rohan Nayak, CEO of Pocket FM and Nishanth KS, COO of Pocket FM.

For more, watch the accompanying video

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Startup Digest: Japan-based Mynavi acquires Awign, Blinkit more valuable than Zomato’s food delivery biz and more

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Japan-based Mynavi acquires HR tech startup Awign in an all-cash deal

Japan-based HR solutions provider Mynavi Corporation has acquired a majority stake in human resource tech platform Awign, which as per the firm is the largest HR deal in India in 20 years.

Under the new structure, Awign aims to generate $1 billion revenue by 2030. With this acquisition, few of the Bengaluru-based company’s early investors including Capria, Lumis, MSDF, Amicus Capital and Pankaj Bansal will exit the company.

“Mynavi will hold a significant majority in the company and co-founders of the company will also continue to hold a sizable stake. As part of this acquisition, the board constituency will change because Mynavi will acquire a sizable majority but the operating layer will remain the same. Mynavi is not going to appoint any operator in our company,” Awign Co-founder and CEO, Annanya Sarthak said.

Capria closes Rs 153 crore India Opportunity Fund following multi-fold return from Awign exit

Capria Ventures has announced the close of its India Opportunity Fund at Rs 153 crore (~$19M). This comes on the heels of a full-cash exit from its portfolio company Awign. The venture capital firm has sold its stake in Awign to Japan-based human resource solutions provider Mynavi Corporation. According to Capria, Awign has seen 20 times growth in revenue since Capria first led its seed round investment in 2018.

In February 2023, Capria achieved the first close of India Opportunity Fund at Rs 75 crore. The fund was called Unitus Ventures India Opportunity Fund before Capria and Unitus joined hands to operate as a single brand, Capria, in September 2023.

Capital from the first close of this fund was invested in the breakout leaders of its early-stage funds (Capria India Fund I and Capria India Fund II), such as Awign, BetterPlace, Cuemath, Eduvanz, and Masai.

Blinkit more valuable than Zomato’s food delivery biz: Goldman Sachs

Brokerage firm Goldman Sachs believes that the implied value of Zomato’s quick commerce business, Blinkit, is now larger than the parent’s core food delivery business.

Goldman Sachs is now valuing Blinkit at ₹119 per share at a $13 billion equity valuation. That’s higher than the food delivery business, which is being valued at ₹98 per share.

Zomato has been surprisingly positive on both profitability and the growth front, according to Goldman Sachs and the Gross Order Value (GOV) for Blinkit is nearly 50% higher than their estimate a year ago.

Norwest VP launches $3 billion new fund to back early & growth stage startups

Norwest Venture Partners, that has backed unicorns like Amagi, OfBusiness, Swiggy and Mensa, has raised its 17th global fund of $3 billion. The latest fund brings the firm’s total capital under management to $15.5 billion.

Called NVP 17, the fund will invest in early and growth-stage startups in the US, India and Israel, across sectors such as enterprise tech, consumer and healthcare. The VC has backed 43 Indian companies since entering the country in 2009.

Their investments range across stages – in the early and mid-stage companies the ticket size ranges from $10 – $30 million, and in the growth equity stages the ticket size ranges from $20 – $100 million. Recently, Norwest has also promoted three of its India team members — Nikhil Kookada and Ankit Prasad to principal; and Krish Kapadia to vice president.

FlashAid raises $2.5 million from Piper Serica Angel Fund, SOSV

Healthcare and Insurtech company Flashaid has raised $2.5 million in a Pre-Series A funding round led by Piper Serica Angel Fund and global venture capital firm SOSV. Early-stage investors —Z21 Ventures Fund and ZNL Growth Fund participated in this round.

The startup plans to use the fresh funds for growth and to expand to six new cities. Flashaid said it is building an API-first health cover to make health insurance affordable and accessible to digital India. It is developing a distinctive channel for retail health plan distribution via a B2B2C platform.

Over the last year, Flashaid claims to have partnered with over 20 platforms to distribute 30,000+ health covers and is profitable at the EBITDA level. The company is at an ARR of $ 1 million and is expected to grow to $10M ARR (annual run rate) in the next two years.

MatchLog Solutions gets $1.5 million to enhance sustainability and carbon efficiency in container logistics

MatchLog Solutions, a sustainable container logistics and supply chain optimization player, has bagged $1.5 million in Pre-Series A funding round led by Motion Ventures and July Ventures, with participation from Venture Catalysts, Blue Ashva Capital, and Capital A.

As per the firm, this funding will enable it to shift to a full platform model, emphasising carbon reduction as a core aspect of its offering. The investment will also expand MatchLog’s market presence, enhance strategic partnerships, and deepen collaborations within the global shipping and port ecosystems.

MatchLog said it is set to increase its footprint and scale in India and the growth is projected to handle around 4-5 million containers annually, resulting in a substantial reduction of 200,000 metric tons of carbon emissions each year.

Ideal Insurance bags Rs 8 crore in Pre-Series A funding

Insuretech platform Ideal Insurance has raised Rs 8 crore in Pre-Series A funding round led by family offices of VC Grid with participation from investors including Sagar Daryani of Wow Momo, Atha Group Family office, StyleBaazar Family office, Deven Bhandari and others.

“With a team of more than 300 and presence across 50+ cities, we plan to grow to 500 cities in the next 2 years with a premium collection of more than INR 1,100 crore and an EBITDA target of INR 33 crore,” said Rahul Agarwal, Founder and CEO of Ideal Insurance

Agarwal added, “We plan to raise $10 million this year at a valuation of $70-90 million to achieve our desired growth.”

Control One AI receives $350,000 from a clutch of investors

Control One AI, an AI first Robotics Startup has raised $350,000 from a group of investors in the United States and India. The funding saw participation from Kunal Shah (Founder, CRED), Chaitanya R (Co-Founder,Wakefit) & Amit Singh (Ex-MD, Avendus Capital) and Silicon Valley based Top Supply Chain executives from Tesla, Amazon, Walmart, eBay, Mercedes-Benz, and General Electric.

The startup is building an AI specially tailored for Slow Moving Equipments utilised throughout the Supply chain.

The funds raised is aimed at creating a fully functional prototype and conducting successful pilot validations. The firm is also looking to unveil the first fully functional prototype to demonstrate the AI in action which will revolutionise the existing infrastructure and even democratize automation to all.

Ramoji Group invests in FlexiCloud to expand cloud solutions in Kerala

Ushodaya Enterprises, the parent company of the Ramoji Group, has made strategic investment in Kochi-based FlexiCloud Internet, a provider of advanced managed cloud hosting solutions. This investment is part of Ushodaya’s efforts to expand its footprint in Kerala, a statement said.

The fresh capital will be used to augment company’s technological base, expand its research and development efforts, and increase its market penetration.

This investment will also help improve FlexiCloud’s PaaS offerings in the cloud sector and incorporate AI and machine learning into their services. “Thanks to this investment, we can push the boundaries of what our cloud technologies can achieve, offering more to our clients than ever before,” said Binu Mathew, CFO of FlexiCloud.

GLOBAL TECHNOLOGY & STARTUP NEWS

Microsoft results top Wall Street targets, driven by AI investment

Microsoft beat Wall Street estimates for third-quarter revenue and profit, driven by gains from adoption of artificial intelligence across its cloud services.

The rise in Microsoft shares after the bell lifted the company’s stock market value by $128 billion as profit and revenue growth overshadowed its higher-than-expected capital expenditures.

Microsoft revenue rose 17% to $61.9 billion in the quarter ended March, exceeding the consensus estimate of $60.80 billion, according to LSEG data. Earnings per share of $2.94 topped Wall Street’s target of $2.82.

Google parent announces first-ever dividend; beats on sales, profit

Alphabet has announced its first-ever dividend and a $70 billion stock buyback. The Google parent is returning capital while spending billions of dollars on data centers to catch up with rivals on generative artificial intelligence. The dividend will be 20 cents per share.

Alphabet beat expectations for the quarter in sales, profit and advertising – metrics that are all closely watched. Alphabet’s after-hours share surge of nearly 16% following the report increased its stock market value by about $300 billion to over $2 trillion.

In a call to discuss results, CEO Sundar Pichai touted Google’s AI offerings as a boon to its core search results. “We are encouraged that we are seeing an increase in search usage among people who are using the AI overviews,” he said. Revenue was $80.54 billion for the quarter ended March 31, compared with estimates of $78.59 billion, according to LSEG data.

Snapchat parent soars after beating revenue, user growth estimates

Shares in Snap jumped nearly 25% in premarket trading after targeted ads and new features helped the owner of the photo messaging app beat Wall Street expectations for first-quarter revenue and user growth.

The Snapchat parent now expects second-quarter revenue between $1.23 billion and $1.26 billion, above analysts’ estimates of $1.22 billion, according to LSEG data. Snap said its business was improving faster than expected due to upgrades of its ad system and higher demand for features that help brands drive sales or website clicks.

Daily active users of Snapchat increased to 422 million during the quarter, above estimates of 419.6 million. The company said first-quarter revenue grew 21% to $1.2 billion, above estimates of $1.12 billion.

ByteDance prefers TikTok shutdown in US if legal options fail: Report

TikTok owner ByteDance would prefer to shut down its loss-making app rather than sell it if the Chinese company exhausts all legal options to fight legislation to ban the platform from app stores in the U.S., Reuters reported.

The algorithms TikTok relies on for its operations are deemed core to ByteDance’s overall operations, which would make a sale of the app with algorithms highly unlikely, said the sources close to the parent.

TikTok accounts for a small share of ByteDance’s total revenues and daily active users, so the parent would rather have the app shut down in the U.S. in a worst case scenario than sell it to a potential American buyer, they said.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Elevating India’s Startups: The journey from vision to unicorn with Leap to Unicorn Season 2

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

The Indian startup landscape is a captivating narrative of ambition and innovation. Fueled by a burgeoning talent pool and a supportive startup ecosystem, the country is witnessing an explosion of young companies eager to disrupt traditional industries and redefine the future.

This dynamism is best seen in the numbers – India boasts the third-largest startup ecosystem globally, with over 100,000 recognised startups. Furthermore, the nation’s entrepreneurial spirit extends beyond major metropolitan cities. Smaller towns and cities are emerging as vibrant startup hubs, fostering a diverse and inclusive innovation landscape. However, navigating the path to success requires more than just a brilliant idea.

This is precisely where Leap to Unicorn, a pioneering initiative by IDFC FIRST Bank in collaboration with Network18 and CNBC-TV18, steps in. Launched in 2023, the program established itself as a cornerstone for nurturing India’s most promising startups. It provided a strong platform for founders to hone their skills, refine their business models, and connect with investors. The first season of Leap to Unicorn saw a remarkable turnout with over 5,000 registrations, culminating in 600 startups participating in intensive boot camps. The program’s success has only served to inspire IDFC FIRST Bank and Network18 to push the envelope with Season 2.

Building on the momentum of Season 1, Leap to Unicorn Season 2 has recently concluded its registration phase, exceeding all expectations. A total of 5,465 applications poured in, reflecting the immense enthusiasm for the program as well as the depth of talent within the Indian startup ecosystem. Of these, 51% entries came from Tier 1 cities like Delhi, Noida, Gurgaon and others, while around 49% entries came from Tier 2 and Tier 3 cities. That’s almost half the participants. Can you imagine the sheer job growth and prosperity these areas will see as these startups grow?

Also noteworthy are the sectors these startups belong to. The biggest number comes from the following 4 sectors which are Consumer Internet, Healthcare, Health Tech and Med Tech. The success of these startups could help power India’s push towards greater access to healthcare for all Indians and go far in cementing India’s leadership position as a global medical tourism destination. The third sector that has seen increasing participation is Agriculture and Agri tech, where we can expect these startups to take on the many challenges Indian farmers face today. Through the use of technology and innovation, these startups are poised to improve agricultural efficiency, sustainability, and resilience, contributing to food security and economic growth in India.

Following a rigorous selection process, the creme de la creme – the top 10% of applicants – have been chosen to participate in a series of exclusive virtual boot camps. Commencing on April 15, 2024, these high-potential startups are participating in a series of 16 exclusive virtual boot camps spread out strategically across four weeks.

The boot camps are off to a promising start in the first week with founders being mentored by a distinguished roster of industry veterans. This group includes visionaries like Sanjeev Bikhchandani, founder of Info Edge, who led the “Leadership Utopia” session. Rahul Jain, the entrepreneurial mind behind Epigamia, shared his insights on “Building a Prototype & Testing the Waters,” equipping founders with practical strategies for validating their ideas. In the coming weeks, founders will delve into several topics curated for their success.

Beyond the boot camps, Leap to Unicorn fosters a supportive ecosystem through networking opportunities. Participants will connect with investors, established entrepreneurs, and fellow founders, creating a valuable support network that extends far beyond the program itself. Industry stalwarts like Prem Barthasarthy (Pontaq), Amit Kumar (Ah! Ventures), Mayuresh Raut (Seafund), Rohit M.A. (PeerCapital), and Anand Lunia (India Quotient) have all pledged their expertise and investment capital to the program. This jury highlights Leap to Unicorn’s commitment to fostering a dynamic ecosystem where innovative ideas can flourish and secure the funding they need to thrive.

The impact of Leap to Unicorn transcends the immediate benefits for participating startups. By nurturing promising ventures and fostering a culture of collaboration, the program has the potential to create significant ripple effects. The success stories that emerge from Leap to Unicorn will serve as inspiration for future generations of entrepreneurs, further propelling India’s startup ecosystem to even greater heights. This, in turn, will contribute to economic growth, job creation, and the development of innovative solutions that address the challenges of tomorrow.

Moreover, each season of Leap to Unicorn helps bring to light critical gaps in the ecosystem – most of the intel coming from the participants themselves. Given the reach of the Leap to Unicorn platform, this creates opportunities for support systems to come up with solutions that don’t just benefit the startup ecosystem, but also open up potentially profitable new lines of business for them.

As with its predecessor, Leap to Unicorn Season 2 is poised to be a launchpad for the next wave of India’s unicorns, and you have a front row seat to this exciting transformation.

Learn more about the Leap to Unicorn program and how it is helping propel Indian startups here.

Note: This is a partnered post.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow