<ul><li>India Inc is now preparing for a long funding winter that can last anywhere between 12 months to 24 months.</li><li>The companies are now looking to extend their runway by the means of layoffs, freezing hiring and cutting down on marketing expenses.</li><li>About 10,000 employees from startups like Ola, Unacademy, Vedantu, Meesho, Cars24 and others have lost their jobs so far.</li></ul>The anticipation of a rough funding winter may make Indian startups more conscious about their spending habits, according to several analysts and industry experts Business Insider India spoke with. While the newer players will be forced to do it, it may come off as a choice for heavily backed players, We Founder Circle’s cofounder Gaurav Singhvi said. Madhur Singhal, managing partner and CEO of Praxis Global Alliance, specified that some companies operating in the healthtech, ecommerce, and direct-to-consumer (D2C) would be able to use their cashflow much more efficiently, leadin to lower cash burn rate. “It will be difficult for edtech and social commerce to reduce cash burn because the pace of new customer acquisition must be maintained to support growth,” Singhal told Business Insider. But again, it’s not the same for all. Singhvi <a href="https://www.businessinsider.in/business/startups/news/the-worst-for-indian-startups-is-yet-to-come-be-prepared-for-layoffs-unicorn-slowdown-and-startup-shutdowns-in-2022/articleshow/91681195.cms">added </a>that this funding winter would have the biggest impact on the young startups that are yet to establish their market. There will be less liquidity in the market — not ‘no liquidity’ — so the investors will choose to invest in well-established, heavily-backed startups. However, it would create a new age of investors and entrepreneurs who are more conscious about their spending. The change will be because of will and not force, he noted. There may not be any change coming from the publicly listed companies like Zomato, Paytm, PolicyBazaar, Delhivery and others as the value consciousness is always there once the company is listed on the stock exchange, Singhvi added. <cmsannotation type="cmsannotation" annotationid="Slimmer teams, marketing budget may now be a popular choice" comment="subhead" text="Slimmer teams, marketing budget may now be a popular choice">Slimmer teams, marketing budget may now be a popular choice</cmsannotation> India Inc — which was<a href="https://www.businessinsider.in/business/startups/news/2021-indias-year-of-the-unicorn-and-its-many-high-points/slidelist/88528773.cms"> basking in the glory of an undisrupted flow of funding and expensive valuations last year</a> — is now preparing for a long funding winter that can last anywhere between 12-24 months. The first signs of this can be seen in the extensive layoffs and reduction in hiring activities amongst startups. About 10,000 employees from startups like Ola, Unacademy, Vedantu, Mobile Premier League (MPL), Meesho, Cars24 and others have lost their jobs so far. In total, <a href="https://www.businessinsider.in/business/startups/news/60000-jobs-in-startup-companies-may-lose-their-jobs-this-year-in-india-experts-say/articleshow/91804572.cms">60,000 are expected </a>to be out of work this year. This is only one way for these companies to reduce their cash burn rate. The other would be cutting down on marketing expenses. “Funded companies looking at inorganic growth may also slow down their pace of acquisitions to conserve cash,” Neha Khanna, director at management consultancy firm ValPro, said <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;"></colgroup><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Startups </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Cash Burn </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Meesho </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><a href="https://economictimes.indiatimes.com/tech/startups/meesho-looks-to-cut-costs-extend-cash-runaway-with-new-seller-policies/articleshow/91947322.cms">$46 million</a> per month </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Ola </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><a href="https://yourstory.com/2021/11/ola-b3-credit-rating-moodys/amp#:~:text=According%20to%20Moody's%2C%20a%20high,%2C%202021%20(FY%202021).">$73 million</a> as on March 31, 2021 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Unacademy </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><a href="https://economictimes.indiatimes.com/tech/startups/unacademy-lays-off-around-1000-employees-as-edtech-major-begins-a-massive-cost-cutting-exercise/articleshow/90703708.cms">$15 million</a> per month </td></tr></tbody></table>Source: Media reports Startups contributed around 11 percent to the overall AdEx in 2021, which stood at around ₹74,000 crore as per industry estimates. The companies have now been <a href="https://www.moneycontrol.com/news/business/startup/storyboard18-ad-spends-dip-as-startups-slash-marketing-budgets-8611681.html">slashing their budgets</a> to increase their runway. <a href="https://www.moneycontrol.com/news/business/startup/startups-prioritise-performance-marketing-over-brand-building-8639361.html">Reports </a>also suggest that companies are spending on performance marketing that can bring them instant results, instead of focusing on brand building. <cmsannotation type="cmsannotation" annotationid="What can startups do?" comment="subhead" text="What can startups do?">What can startups do?</cmsannotation> Shahan Sud, an investment banker-turned-VC, elaborated that the companies should focus on reducing their customer acquisition costs and surround themselves with an honest team that can help the entrepreneurs sail past this situation and get a reality check on their position in the market. The companies can “use capital frugality to ensure creative low-cost marketing campaigns, focus on their core business, and selectively hire a hero team (rather than hiring for non-core business verticals) to help them scale their core business,” he said, adding that a healthy mix of this can help shareholders navigate startups for the next 18 months. Singhvi of We Founder Circle explained that several startups have ignored their bottom line for a long time and the investors are now putting pressure on these companies to focus on their finances and numbers. “Revenue is all good but now they are looking at profitability and long term sustenance,” he added. “Bear markets call for prudent measures for running any startup. While these are challenging times, not only owing to a funding crunch but also inflation and a squeeze on the supply chain, it would help startups build lean operations to achieve better unit economics for products they’re building,” ValPro’s Khanna elaborated. SEE ALSO <a href="https://www.businessinsider.in/india/news/spicejet-hiked-its-ticket-prices-indigo-and-others-might-follow-suit/articleshow/92251751.cms" style="">SpiceJet hiked its ticket prices; Indigo and others might follow suit</a> <a href="https://www.businessinsider.in/business/news/ready-to-take-off-rakesh-jhunjhunwalas-akasa-air-receives-its-first-boeing-aircraft/articleshow/92247189.cms" style="">Ready to take off – Rakesh Jhunjhunwala's Akasa Air receives its first Boeing aircraft</a> <a href="https://www.businessinsider.in/business/ecommerce/news/amazon-flipkart-and-myntra-sales-all-unaffected-by-low-consumer-sentiment/articleshow/92245806.cms" style="">Amazon, Flipkart and Myntra sales – all unaffected by low consumer sentiment</a>

Tough times will make startups go for ‘hero teams’, slash ad budgets and focus on profits

<ul><li><keyword id="476451" type="General" weightage="20" keywordseo="deepinder-goyal" source="Orion">Deepinder Goyal</keyword> on Friday announced that he will be donating all his ESOP proceeds worth ₹700 crore to the <keyword id="13839926" type="General" weightage="20" keywordseo="zomato-future-foundation" source="Orion">Zomato Future Foundation</keyword>.</li><li>The foundation will cover the education of up to two children of all Zomato delivery partners who have been with the company for five years.</li><li>It would also offer educational and livelihood support for the families of all delivery partners who meet “unfortunate circumstances” on duty.</li></ul><keyword id="3378387" type="General" weightage="20" keywordseo="zomato-founder" source="Orion">Zomato founder</keyword> and chief executive officer (CEO) Deepinder Goyal on Friday (May 6) announced that he will donate all his employee stock option plan (ESOP) proceeds worth ₹700 crore to Zomato Future Foundation, which will be used towards offering free education to the children of delivery partners, among other things. Goyal made this announcement in an email sent to the employees of the company. “Right before we went public, I was granted some ESOPs by our investors/ board basis my past performance. Some of these ESOPs vested last month (because there’s a minimum 1 year vesting required as per law). At the average share price over the last month, these ESOPs are worth ~$90m (~₹700 crores),” Goyal said in the letter, seen by Business Insider. The Zomato Future Foundation will cover the education of up to two children, up to ₹50,000 per child per annum on actuals, of all Zomato delivery partners who have been with the company for more than five years. The amount will increase to ₹1,00,000 per child per annum for partners who have been associated with the company for ten years. The company will also introduce special programs for girl children and offer prize money to girls who complete 12th grade and graduation, Goyal said in the email to Zomato employees. Besides this, the company would also offer educational and livelihood support for the families of all delivery partners who meet “unfortunate circumstances” such as accidents while on duty. <cmsannotation type="cmsannotation" annotationid="This is what Zomato’s Deepinder Goyal said in the email:" comment="subhead" text="This is what Zomato’s Deepinder Goyal said in the email:">This is what Zomato’s Deepinder Goyal said in the email:</cmsannotation> Hi team – right before we went public, I was granted some ESOPs by our investors/ board basis my past performance. Some of these ESOPs vested last month (because there’s a minimum 1 year vesting required as per law). At the average share price over the last month, these ESOPs are worth ~$90m (~₹700 crores). Here’s my plan for these ESOPs – I am donating all the proceeds from these ESOPs (net of taxes) towards the Zomato Future Foundation (ZFF). The ZFF will cover - <ul><li>Education of up to two children of all Zomato Delivery Partners, up to Rs 50,000 per child per annum on actuals ( above a certain service quality benchmark ) who have been on our fleet for more than 5 years. This amount will go up to ₹1,00,000 per child per annum if the Delivery Partner completes 10 years with us.</li></ul><ul><li>Service thresholds of 5/10 years will be lower for Women Delivery Partners. We will also have special programs for girl children and introduce “prize money” if a girl completes 12th grade, as well as her graduation.</li></ul><ul><li>Higher education scholarships over and above these limits for children with higher performance and potential</li></ul><ul><li>Educational and livelihood support for the families of all our Delivery Partners (irrespective of service tenure) who meet with unfortunate circumstances such as accidents, while on the job</li></ul>This is just the start. As and when needed, we will keep expanding and re-evaluating the scope of this Foundation to benefit our ecosystem further. Again, 100% of the proceeds of this ESOP vesting cycle are committed towards ZFF. To reap the most benefit for ZFF, and protect the interests of our shareholders, I do not intend to liquidate all these shares immediately, but over the next few years. For the first year, I will liquidate less than 10% of these ESOPs towards this fund. ZFF is also going to be open to donations from other Zomato employees. We are also going to explore other fundraising opportunities for the ZFF. We will also set-up an independent governance board for the Zomato Future Foundation. I hope you are as excited as me for the opportunity to give back to our society in a meaningful way. I am especially pumped for what this Foundation will do for our Delivery Partner’s children – I believe that education is the one and only thing that can give them a chance to build a life much better than their previous generations. I also hope that some of these kids grow up to leading the charge at various businesses that we build within Zomato over time, in addition to starting new companies that change the future course of our country. Cheers, Deepi SEE ALSO <a href="https://www.businessinsider.in/stock-market/news/zomato-policybazaar-nykaa-and-paytm-shares-witness-sharp-corrections/articleshow/91365062.cms" data-type="tilCustomLink">New-age startups Zomato, PolicyBazaar, Nykaa and Paytm witness sharp corrections, market cap craters by over ₹6,000 crore</a> <a href="https://www.businessinsider.in/stock-market/news/ril-tvs-motor-voltas-among-stocks-to-watch-out-for-on-may-6/slidelist/91362043.cms" data-type="tilCustomLink">RIL, TVS Motor, Voltas among stocks to watch out for on May 6</a> <a href="https://www.businessinsider.in/stock-market/news/delhivery-ipo-size-cut-down-by-a-third-due-to-market-volatility-and-lic-ipo-say-analysts/articleshow/91348072.cms">Delhivery IPO size cut down by a third due to market volatility and LIC IPO, say analysts</a>

Deepinder Goyal donates his Zomato stock options worth ₹700 crore to offer free education for delivery partners’ children and more

<ul><li>Share prices of most new-age start-ups have been battered since the start of this year due to market corrections.</li><li>A recent report by investment bank DC Advisory notes that these market corrections are likely to reverse by next year.</li><li>A strong listing can even bring back the enthusiasm quicker</li></ul>It has been a tough year for India’s new-age start-ups as shares of recently listed companies like <keyword id="830092" type="General" weightage="20" keywordseo="zomato" source="Orion">Zomato</keyword>, PolicyBazaar, Nykaa and <keyword id="6357120" type="General" weightage="20" keywordseo="paytm" source="Orion">Paytm</keyword> take a beating at the bourses while funding dries up for private firms. Global market corrections due to the Russian-Ukraine conflict and weak business fundamentals are being blamed for the current situation Zomato — which crossed $13 billion in market capitalisation last year — is now valued less than its unlisted rival Swiggy at $5.5 billion. Paytm — which was the highest valued start-up in India at one point at $18 billion — is now barely at $5.9 billion at the moment. A recent report by investment bank DC Advisory noted that these “market corrections are not sticky” and were likely to come down as early as the first half of 2023. A strong <keyword id="6357440" type="General" weightage="20" keywordseo="stock-market" source="Orion">stock market</keyword> listing could help bring back the cheer. “A few positive events in the near future such as a strong listing for a digital-first company could have a domino effect and bring enthusiasm back to the market quicker than we all anticipate,” the investment bank said, while adding that the current market scenario has been a deterrent to companies planning to go public. <cmsannotation type="cmsannotation" annotationid="Companies go slow on IPO plans" comment="subhead" text="Companies go slow on IPO plans">Companies go slow on IPO plans</cmsannotation> The year 2021 saw India’s young start-up ecosystem mature as ten <keyword id="15935" type="General" weightage="20" keywordseo="tech-companies" source="Orion">tech companies</keyword> — namely EaseMyTrip, Zomato, CarTrade, Nykaa, Fino, PolicyBazaar, Paytm, Nazara, RateGain and MapMyIndia — made their public debut. One of the highlights of 2021 was the listing of software-as-a-service (SaaS) company Freshworks which had a stellar debut on the Nasdaq, turning<a href="https://www.businessinsider.in/stock-market/news/freshworks-ipo-500-crorepatis-12-billion-market-cap-and-more-that-emerged-from-indias-first-saas-listing-at-nasdaq/articleshow/86445614.cms"> 500 of its employees into millionaires</a>. <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;" class="redcator-table-advance"></colgroup><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Company </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">% change since listing </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Nykaa </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-39.75% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Zomato </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-54.91% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Paytm </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-52.77% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Delhivery </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">11.02% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Freshworks </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-72.68% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">PolicyBazaar </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-52.02% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">EaseMyTrip </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">263.71% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">MapMyIndia </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">1.29% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Nazara Technologies </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-42.06% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">RateGain </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-12.62% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">CarTrade </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-55.74% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Fino Payments Bank </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-53.54% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Veranda Learning </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">58.49% </td></tr></tbody><tbody></tbody><tbody></tbody><tbody></tbody></table>Date: As of 11:14 am, July 14, 2022 However, most of these companies, including Freshworks, have lost their spark in the stock market mainly due to market correction, business performance and the ongoing Russia-Ukraine crisis. The disappointing market debut of Life Insurance Corporation, one of the most anticipated IPOs, and its continued underperformance, down 18 percent since its debut in May, has made more companies wary of going ahead with an IPO this year. “Tech IPOs, which saw a frenzy of activity last year, have delivered a disappointing performance for investors. We expect limited movement in IPO markets in the near term as investors try to rebuild conviction on digital stocks,” DC Advisory added. Companies like OYO, ixigo, Droom, Mobikwik, PharmEasy and SnapDeal were planning to go for a public listing this year and have already filed their papers with the Securities and Exchange Board of India (SEBI). Mobikwik and ixigo have also received an approval. Mobikwik, in a previous <a href="https://www.businessinsider.in/business/startups/news/mobikwik-ipo-is-not-happening-this-quarter/articleshow/89891819.cms">conversation with Business Insider</a>, has said that it will wait for the right market conditions to go public. <cmsannotation type="cmsannotation" annotationid="Prepping for a funding winter" comment="subhead" text="Prepping for a funding winter">Prepping for a funding winter</cmsannotation> Several stakeholders, investors and entrepreneurs have been girding for a funding winter that is expected to last anywhere between 12-24 months. The start-ups have already started laying off people, impacting at least <a href="https://www.businessinsider.in/business/startups/news/indian-startups-have-already-laid-off-a-little-over-11000-people-in-the-last-six-months/articleshow/92541036.cms">11,695 employees</a> this year alone. According to several experts Business Insider has spoken to, investors have a limited capital to invest and that is making them even more choosy. Industry’s biggest players, who already have heavy backing, may not face many hurdles in raising funds but smaller players may struggle. Investors have also become strict about valuing businesses. Media reports suggest that e-commerce company Meesho has been trying to close another funding round at a valuation of around <a href="https://timesofindia.indiatimes.com/business/india-business/meesho-to-raise-1bn-at-valuation-of-8bn/articleshow/87859070.cms">$8 billion</a> but has not been able to find investors. This tightening of the funding from venture capitalists (VC) and private equity (PE) is likely to spur a lot more mergers and acquisitions in the tech sector, the report added. ”We believe a shakeout within PE/VC deals in the tech sector was long overdue and expect a lot more consolidation in the market going forward,” the report said. SEE ALSO <a href="https://www.businessinsider.in/tech/enterprise/news/indian-tech-firms-contributed-nearly-200-billion-to-the-us-economy-creating-2-lakh-jobs/articleshow/92854889.cms">Indian tech firms contributed nearly $200 bn to the US economy, more than the combined economies of 20 US states</a> <a href="https://www.businessinsider.in/business/news/fintechs-are-helping-indian-msmes-get-over-their-biggest-challenges-but-there-is-still-a-long-way-to-go/articleshow/92848620.cms">Fintechs are helping Indian MSMEs with their biggest challenge — data and the lack of it</a> <a href="https://www.businessinsider.in/business/startups/news/karan-virwani-kunal-shah-and-4-other-startup-ceos-invest-in-a-real-estate-venture/articleshow/92829944.cms">Karan Virwani, Kunal Shah and 4 other startup CEOs invest in a real estate venture</a>

As Zomato, Paytm and new-age start-ups struggle at bourses, their unlisted peers stare at funding winter

<ul><li><keyword id="6354720" type="General" weightage="20" keywordseo="ola" source="Orion">Ola</keyword> is now on a lookout for more driver partners, as it plans to expand into new cities and product offering.</li><li>Ola’s revenue declined by 95% in the first quarter of FY2021 due to the pandemic.</li><li>The impact of the pandemic will be long-drawn for Ola as the world is not going to “revert” to pre-COVID era anytime soon, CEO Aggarwal had said last year. </li></ul>Ten million people tried Ola for the first time in the financial year 2021, the ride hailing giant’s chief executive (CEO) Bhavish Aggarwal announced on Twitter on Tuesday, September 7. This coincides with the fact that it crossed its pre-COVID level gross merchandise value (GMV), last week. Ola is now on a lookout for more driver partners, as it plans to expand into new cities and product offering. <div type="javascript" title="Custom" contenttype="Image"><cdata><![CDATA[ ]]></cdata></div> The development does come as a surprise as Ola had been massively impacted by COVID-induced travel restrictions and lockdown last year. The Bengaluru-based startup had to lay off <a href="https://www.businessinsider.in/business/startups/news/ola-fired-1400-employees-as-revenue-is-hit-by-95-in-the-last-two-months/articleshow/75843656.cms">1,400 employees</a> from its workforce in May 2020 as its revenue declined by 95% in the first two months of the financial year 2021. “Our revenue has come down 95% over the past 2 months. Most importantly, this crisis has affected the livelihoods of millions of our drivers and their families across India and our international geographies,” Aggarwal said in an internal email sent to employees last year. He also mentioned that the impact of the COVID-19 pandemic will be long-drawn for Ola as the world if not going to “revert” to pre-COVID era anytime soon. “Social distancing, anxiety, and an abundance of caution will be the operating principles for everyone,” he wrote in an email to employees while announcing the layoffs. As Ola has managed to recover from the impacts of the pandemic, it has put its initial public offering (IPO) plans back on the table. The company has raised<a href="https://www.businessinsider.in/business/startups/news/ola-app-raises-500-million-from-temasek-and-warburg-ahead-of-ipo/articleshow/84261607.cms"> half a billion dollars</a> from Temasek and Warburg Pincus in July 2021. It also raised $100 million debt for its electric vehicles (EV) focused arm Ola Electric to finance new projects. Ola was founded by Aggarwal and Ankit Bhati in 2010. The company has its presence across three continents. It has raised more than $4 billion to date from marquee investors like SoftBank, Tencent, Steadview Capital, Eternal, Sailing Capital, China Eurasian Economic Cooperation Fund and others. SEE ALSO <a href="https://www.businessinsider.in/business/startups/news/zoho-corp-invests-5-million-in-medical-devices-startup-voxelgrids/articleshow/86000656.cms" data-type="tilCustomLink">Zoho Corp invests $5 million in medical devices startup Voxelgrids</a> <a href="https://www.businessinsider.in/business/startups/news/logistics-company-delhivery-raises-76-million-ahead-of-its-ipo/articleshow/85997440.cms">Former Tiger Global exec Lee Fixel picks Delhivery as his second bet in India, after Inshorts</a> <a href="https://www.businessinsider.in/tech/news/el-salvador-just-bought-400-bitcoin-and-plans-to-buy-a-lot-more-a-day-before-making-it-an-official-currency/articleshow/85995497.cms">El Salvador just bought 400 bitcoin and plans to buy 'a lot more,' a day before making it an official currency</a>

10 million people tried Ola for the first time last fiscal year, says CEO Bhavish Aggarwal

<ul><li>The company’s cofounder Bhavish Aggarwal will also be infusing an undisclosed amount.</li><li><keyword id="6354720" type="UNKNOWN" weightage="20" keywordseo="ola">Ola</keyword> was founded in 2010 by Aggarwal and Ankit Bhati.</li><li>It had first announced its plans to go public in 2019.</li></ul>Ride hailing giant Ola has raised $500 million from investment titans Temasek and <keyword id="6402698" type="UNKNOWN" weightage="20" keywordseo="warburg-pincus">Warburg Pincus</keyword>, ahead of its initial public offering (IPO). The company’s chief executive and cofounder Bhavish Aggarwal will also be infusing an undisclosed amount in the Bengaluru-based startup in his personal capacity. “Over the last 12 months we’ve made our ride hailing business more robust, resilient and efficient. With strong recovery post lockdown and a shift in consumer preference away from public transportation, we are well positioned to capitalise on the various urban mobility needs of our customers,” Aggarwal said in a statement. Ola was founded in 2010 by Aggarwal and Ankit Bhati. The company has its presence across three continents. It has raised more than $4 billion to date from marquee investors like <keyword id="163404" type="COMPANY" weightage="20" keywordseo="Softbank">SoftBank</keyword>, Tencent, <keyword id="6497288" type="ORGANIZATION" weightage="20" keywordseo="steadview-capital">Steadview Capital</keyword>, Eternal, Sailing Capital, <keyword id="11602378" type="UNKNOWN" weightage="20" keywordseo="china-eurasian-economic-cooperation-fund">China Eurasian Economic Cooperation Fund</keyword> and others. It had been planning its public market debut since 2019. The company had also set up a pre-IPO trust in September 2019. Ola had also started to <a href="https://www.businessinsider.in/business/startups/news/ola-is-shedding-flab-getting-a-makeover-as-it-rides-to-a-big-bang-ipo-in-2-years/articleshow/72292401.cms">restructure its business </a>with layoffs, optimising teams and adding more top executives to the mix. According to a Reuters<a href="https://www.reuters.com/article/us-ola-ipo-idUSKBN1Y30L9"> report</a> published in 2019, Ola was planning to hit the public market by March 2021.However the plans were obviously pushed back due to the Covid-19 pandemic. Ola had to lay off about <a href="https://www.businessinsider.in/business/startups/news/ola-fired-1400-employees-as-revenue-is-hit-by-95-in-the-last-two-months/articleshow/75843656.cms">1,400 employees</a> from its workforce in May 2020, as its revenue had declined by 95% in the first two month of the pandemic-induced lockdown during wave one. "The fallout of the virus has been very tough for our industry in particular. Our revenue has come down 95% over the past 2 months. Most importantly, this crisis has affected the livelihoods of millions of our drivers and their families across India and our international geographies," Aggarwal had told Ola employees in an email. While Ola is planning its IPO, food delivery app Zomato is all set to hit the<a href="https://www.businessinsider.in/business/startups/news/zomato-ipo-to-open-on-july-14-with-shares-priced-at-72-76-apiece/articleshow/84226269.cms"> public market next week</a> on July 14. The Gurugram-based company has set the offer price for its shares at ₹72-76 apiece, to raise ₹9,375 crore ($1.3 billion) through this issue. SEE ALSO <a href="https://www.businessinsider.in/business/startups/news/live-teaching-platform-teachmint-app-raises-fresh-funding-of-20-million/articleshow/84257864.cms">Live teaching platform Teachmint raises fresh funding of $20 million after raising over $16 million two months ago</a> <a href="https://www.businessinsider.in/business/startups/news/social-commerce-startup-dealshare-raises-144-million-from-tiger-global/articleshow/84227890.cms">Social commerce startup DealShare raises $144 million from Tiger Global</a> <a href="https://www.businessinsider.in/business/startups/news/these-were-the-biggest-co-founder-exits-in-the-indian-startup-ecosystem/slidelist/84224683.cms">From Swiggy and Zomato to Ola and Delhivery — these startups have seen their co-founders exit for their next adventure</a>

Ola raises half-a-billion dollars from Temasek and Warburg ahead of its IPO

<ul><li>Zoho will acquire about 25% stake in <keyword id="6600087" type="General" weightage="20" keywordseo="voxelgrids" source="Orion">Voxelgrids</keyword> over a period of two years. </li><li>The investment from Zoho would allow Voxelgrids to build strategic relationships for faster market penetration.</li><li>Voxelgrids aims to have multiple full-fledged clinical sites before the end of the 2021-22 financial year. </li></ul>Indian software-as-a-service (SaaS) firm Zoho Corporation has invested $5 million (about ₹35 crore) in a Bengaluru-based medical devices company Voxelgrids, which makes magnetic resonance imaging (MRI) scanners. The investment will be made in two tranches over the next two years and Zoho would own around 25% stake in Voxelgrids. Voxelgrids was founded in March 2017 by Arjun Arunachalam, who has nearly two decades of experience in the field. He has previously worked as lead scientist at GE Corporate Research in the US. He was also an assistant professor at the Indian Institute of Technology (IIT), Bombay. The startup has over 22 employees. Its founding tem includes engineers Shankar Murthy Udupa and Sairamesh Raghuraman. Voxelgrids claims to manufacture MRI scanners that are lightweight, mobile, easy to install, operate and maintain even in remote locations such as small villages. The equipment also includes a proprietary software package for imaging purposes. <div type="image" title="Zoho Corp invests $5 million in medical devices startup Voxelgrids" msid="86001132" hostid="261" caption="&amp;lt;p&amp;gt;MRI machines made by Voxelgrids &amp;lt;/p&amp;gt;"></div> "One of the pressing concerns for the Indian economy today is the lack of indigenous industrial know-how and manufacturing capabilities. A healthy DeepTech ecosystem is vital to solving this issue and driving structural economic change. Voxelgrids is one of the few companies that is working to solve this problem with MRI machines entirely built in India,” <keyword id="191862" type="General" weightage="20" keywordseo="Sridhar-Vembu" source="Orion">Sridhar Vembu</keyword>, chief executive (CEO) and cofounder of <keyword id="447145" type="General" weightage="20" keywordseo="zoho-corp" source="Orion">Zoho Corp</keyword> said. He further added that more such companies are needed in India that can own and command this type of engineering in different sectors. The investment from Zoho would allow Voxelgrids to build strategic relationships for rapid market penetration, design and intellectual property (IP) licensing opportunities and partner with original equipment manufacturers (OEM). “DeepTech products, like ours, require a significant amount of time from completing the R&amp;D [research and development] to taking the product to market, and most often, this is the time where we face insufficient funding. The investment from Zoho will help us bridge this gap and speed up our efforts to scale," said Arunachalam. SEE ALSO <a href="https://www.businessinsider.in/business/startups/news/logistics-company-delhivery-raises-76-million-ahead-of-its-ipo/articleshow/85997440.cms">Former Tiger Global exec Lee Fixel picks Delhivery as his second bet in India, after Inshorts</a> <a href="https://www.businessinsider.in/tech/news/el-salvador-just-bought-400-bitcoin-and-plans-to-buy-a-lot-more-a-day-before-making-it-an-official-currency/articleshow/85995497.cms">El Salvador just bought 400 bitcoin and plans to buy 'a lot more,' a day before making it an official currency</a> <a href="https://www.businessinsider.in/retail/news/chipotles-digital-sales-hit-a-record-2-billion-so-far-this-year-heres-how-its-loyalty-program-led-the-company-to-success/articleshow/85995495.cms">Chipotle's digital sales hit a record $2 billion so far this year - here's how its loyalty program led the company to success</a>

Zoho Corp invests $5 million in medical devices startup Voxelgrids

<ul><li><keyword id="1979075" type="COMPANY" weightage="20" keywordseo="INDEGENE">Indegene</keyword> is a 23-year-old healthtech solutions provider with interests across pharmaceuticals, biotechnology solutions, and medical devices.</li><li>Both the firms will pick up minority stakes in Indegene, through a primary as well as secondary transaction.</li><li>According to reports, Indegene’s valuation has jumped to $700 million.</li></ul>American private equity giant The <keyword id="44803" type="CITY" weightage="20" keywordseo="Carlyle-group">Carlyle Group</keyword> and investment firm <keyword id="10696504" type="UNKNOWN" weightage="20" keywordseo="brighton-park">Brighton Park</keyword> have pumped in $200 million into Indian healthtech firm Indegene. Both the firms will pick up minority stakes in Indegene, through a primary as well as secondary transaction by buying out existing investors. According to <a href="https://www.business-standard.com/article/companies/indegene-s-valuation-reaches-700-mn-raises-200-mn-from-carlyle-brighton-121020300051_1.html#:~:text=According%20to%20the%20sources%2C%20the,increased%20to%20about%20%24700%20million.">reports</a>, Indegene’s valuation has jumped to $700 million after the deal. Indegene is a 23-year old is a healthtech solutions provider with interests across pharmaceuticals, biotechnology solutions, and medical devices. The company has over 3,000 employees in offices across India, North America, Europe, China and Japan. With the latest investment, the company now aims to expand its global presence and M&amp;A activities. “Carlyle’s commitment to the <keyword id="6354525" type="UNKNOWN" weightage="20" keywordseo="healthcare">healthcare</keyword> sector with their global network and deep pharmaceutical expertise, coupled with Brighton Park’s deep experience in the technology sector and nuanced understanding of our space, makes the two firms the ideal partners to support our company’s continued growth,” said Manish Gupta, co-founder and CEO of Indegene. The company also claims that its revenues grew at around 25% every year for the last ten years. Meanwhile, Carlyle has been ramping up its India presence especially in the health sector. The firm invested in Piramal Pharma; a pure-play animal healthcare company SeQuent; Delhi Medanta Medicity Hospital, and diagnostic center and laboratory operator Metropolis Healthcare. It has also invested in startup unicorns like Delhivery. One of Carlyle’s senior advisors is Aditya Puri, the former HDFC Bank CEO, who has recently joined the PE firm.

Carlyle, Brighton Park invest $200 million in Indian healthtech company Indegene

<ul><li><keyword id="3077592" type="PERSON" weightage="20" keywordseo="Zenoti">Zenoti</keyword>, a Software-as-a-Service startup catering to the beauty and wellness industry, has raised $160 million in a series D round of funding.</li><li>The round was led by Advent International, while it also saw participation from existing investors Tiger Global and Steadview Partners. </li><li>With this, Zenoti becomes the fifth SaaS-based Indian startup to become a unicorn.</li></ul>Zenoti, a Software-as-a-Service startup catering to the beauty and wellness industry, has <a href="https://www.livemint.com/companies/news/zenoti-enters-unicorn-club-with-160-million-fundraise-11607954375274.html">raised </a>$160 million in a series D round of funding with a valuation of over a billion dollars. The round was led by Advent International, while it also saw participation from existing investors Tiger Global and Steadview Partners. With this, Zenoti becomes the fifth SaaS-based Indian startup to become a unicorn, the previous ones being Zoho, Freshworks, Druva and Icertis. All of these <keyword id="6362513" type="UNKNOWN" weightage="20" keywordseo="startups">startups</keyword> have found a major customer base in the United States. Zenoti, which is based out of Hyderabad and Bellavue, Washington, offers cloud-based software solutions for the spa, salon and medspa industry and counts over 12,000 outlets across 50 countries as its clients. With the latest investment, the startup now aims to fuel Artificial Intelligence-led innovations while also scaling up operations. The company also aims to hire new employees to double its headcount to 900 from the current 550 by 2022. The 10-year old startup had also ranked 316 in the Deloitte’s Technology Fast 500™, which is a ranking of the 500 fastest-growing technology, media, telecommunications, life sciences and energy tech companies in North America. The company’s founder Sudheer Koneru had also said that the company’s revenue had registered a 320% revenue growth in the last year. SEE ALSO: <a href="https://www.businessinsider.in/business/startups/news/steadview-capital-invests-in-softbank-backed-logistics-unicorn-delhivery-founder-eyes-an-ipo-in-the-next-15-months/articleshow/79732530.cms">Steadview Capital invests in SoftBank-backed logistics unicorn Delhivery – founder eyes an IPO in the next 15 months</a>

Another unicorn – Indian SaaS startup Zenoti enters the coveted club with a $160 million funding

<ul><li><keyword id="3457278" type="PERSON" weightage="20" keywordseo="Darwinbox">Darwinbox</keyword>, the HR tech startup based out of Hyderabad, has raised $15 million from <keyword id="2898530" type="PERSON" weightage="20" keywordseo="Salesforce-Ventures">Salesforce Ventures</keyword>, the investment arm of global software giant Salesforce.</li><li>For Darwinbox, the latest round of investment comes after a long gap. It had last raised funds in September 2019. </li><li>Salesforce India, which had appointed former SBI chairman Arundhati Bhattacharya as its Chairperson and CEO, marks this investment as a first for Salesforce Ventures in India.</li></ul>Darwinbox, the HR tech startup based out of Hyderabad, has raised $15 million from Salesforce Ventures, the investment arm of global software giant Salesforce, which has backed companies like Zoom, Dropbox globally. For Darwinbox, the latest round of investment comes after over one and half years since its last funding in September, 2019. The HR tech startup, which claims to have grown over 300% since then, counts Sequoia Capital India, Lightspeed India, Endiya Partners, and 3one4 Capital among its investors. During lockdown alone, the startup registered a 200% revenue growth. “With over 180 implementations done remotely just during the lockdown, and a record high revenue growth of 200%, Darwinbox has cemented its place as one of the most preferred HR technology platforms in the APAC region,” said the company. Salesforce India, which had appointed former SBI chairman Arundhati Bhattacharya as its Chairperson and CEO, marks this investment as a first for Salesforce Ventures in India. "India is home to one of the world's youngest population, and by 2050, it is expected to account for over 18% of the global working age population. This makes technology platforms like Darwinbox, that focuses on workforces, incredibly important. I'm proud that Salesforce is supporting Darwinbox on their journey as they continue to grow and innovate in this space,” said Bhattacharya in a statement. The startup has so far raised $35 million, while its valuation remains undisclosed. Darwinbox has spread to over 60 countries and has over 500 global enterprise clients, including the likes of Adani, Mahindra, Kotak, TVS, Arvind, NSE, Ujjivan Small Finance Bank, Bharti AXA, Dr.Reddy’s, Nivea, Puma, T-Systems as well as startups like Swiggy, Bigbasket, Delhivery. “Over the past years, we’ve shipped products at a rapid pace to become the most comprehensive HR suite and pioneered first-of-its-kind innovations to deliver superior employee experience. We will leverage the new investment to speed the introduction of exciting new solutions and advance R&amp;D to deploy deep-technology capabilities,” said Chaitanya Peddi, co-founder, Darwinbox, in a statement. SEE ALSO: <a href="https://www.businessinsider.in/budget/news/indian-government-budget-dilemma-curb-the-sale-of-cigarettes-or-let-the-over-12-billion-tobacco-industry-provide-the-much-needed-cash/articleshow/80340422.cms">Indian government’s budget dilemma – curb the sale of cigarettes or let the over $12 billion tobacco industry provide the much needed cash</a>

Zoom, Dropbox backer Salesforce Ventures makes its first investment in India in HR tech startup Darwinbox, which claims to have grown by 200% during lockdown

<ul><li><keyword id="12042233" type="General" weightage="20" keywordseo="gokwik" source="Orion">GoKwik</keyword> offers tools and solutions to direct-to-consumer (<keyword id="4055555" type="General" weightage="20" keywordseo="D2C" source="Orion">D2C</keyword>) that offer better experience to users.</li><li>Matrix Partners India led the company’s pre-Series A round, with participation from RTP Global.</li><li>In its first year of operations, the company has set plans for international expansion.</li></ul>The Indian <keyword id="436047" type="General" weightage="20" keywordseo="ecommerce" source="Orion">ecommerce</keyword> industry was growing exponentially last year as customers and several brands were embarking on the digital journey amidst the pandemic. But the show was largely run by giants like Amazon and Flipkart. That’s when <keyword id="4075194" type="General" weightage="20" keywordseo="Chirag-Taneja" source="Orion">Chirag Taneja</keyword> came up with the solution to help Indian brands to set up their own identity in the world of digital retail. GoKwik, launched in January 2021, offers tools and solutions to direct-to-consumer (D2C) brands — that sell directly to customers through their own website — to offer better experience to users. “If you look at D2C websites and compare it to the giants, you’ll realise that many things are broken. If e-commerce has to boom then someone will need to fix these experiences. That is what we do as a company,” Chirag Taneja, chief executive (CEO) and co-founder of GoKwik, told Business Insider. Fundraise to international expansion — all planned out GoKwik on Tuesday, September 7, announced a $5.5 million fundraise in order to expand its presence further. The pre-Series A round was led by Matrix Partners India, with participation of global investors like RTP Global. Several marquee angel investors and serial entrepreneurs also participated in the round. This includes Jupiter’s Jitendra Gupta, Uni’s Nitin Gupta, AngelList India’s Utsav Somani, CarDekho’s Umang Kumar, Shaadi.com’s Anupam Mittal, Livspace’s Ramakant Sharma, OfBusiness’ Asish Mohapatra and more. Over 12 angels invested in the pre-Series A round. GoKwik plans to use this funding to double its current workforce of 75 employees by 2022 and expand to other Southeast Asian countries that face the same ecommerce related challenges as India. The company has zeroed down on Indonesia, Vietnam and Malaysia for now. The Gurugram-based company notes that they will have an early mover advantage if they start international expansion now. For its international play, the company will focus on building local and central teams in the specific region and partner with local players. The technology and the product would largely remain the same for these markets, where cash-on-delivery would be a more common mode of payment. The Gurgaon-based startup helps retailers overcome challenges of setting up online stores and provide better experience to their customers. The company claims to have processed over a million transactions since its launch. Helping boAt, MamaEarth, LimeRoad and more The e-commerce enabler has also added 75 customers to its bucket list, ranging from marketplaces to publicly listed companies and renowned D2C brands. This includes boAt, Mamaearth, The Man Company, Heads Up For Tails, LimeRoad, ManMatters, The Whole Truth, The Souled Store, and TCNS Clothing Co, which owns brands like W, Aurelia and Wishful. Taneja noted that there are four legs of e-commerce — discovery, search/selection, conversion, retention. GoKwik is solving all these problems with its solution, as per Taneja. Ecommerce is expanding and one would need to use ecommerce enablers to bring the cost down, he added. The company was founded by Taneja and Vivek Bajpai. Taneja has previously worked as the chief revenue officer of Bombay Shaving Company, assistant vice president at Yes Bank and founded a food tech company Ketchupp in 2015. Bajpai, chief technology officer (CTO) and co-founder of GoKwik, was the head of technology at an adtech company SilverPush. Ankush Talwar, chief data scientist at GoKwik, is also part of the founding team. He previously was associated with Kognoz Research &amp; Consulting, Quantiphi and Publicis. SEE ALSO <a href="https://www.businessinsider.in/business/startups/news/logistics-company-delhivery-raises-76-million-ahead-of-its-ipo/articleshow/85997440.cms">Former Tiger Global exec Lee Fixel picks Delhivery as his second bet in India, after Inshorts</a> <a href="https://www.businessinsider.in/tech/news/el-salvador-just-bought-400-bitcoin-and-plans-to-buy-a-lot-more-a-day-before-making-it-an-official-currency/articleshow/85995497.cms">El Salvador just bought 400 bitcoin and plans to buy 'a lot more,' a day before making it an official currency</a> <a href="https://www.businessinsider.in/retail/news/chipotles-digital-sales-hit-a-record-2-billion-so-far-this-year-heres-how-its-loyalty-program-led-the-company-to-success/articleshow/85995495.cms">Chipotle's digital sales hit a record $2 billion so far this year - here's how its loyalty program led the company to success</a>

A former Bombay Shaving Company exec is helping brands like boAt, MamaEarth go big on ecommerce ⁠— and he now wants to take it abroad

<ul><li>The <keyword id="3351303" type="PERSON" weightage="20" keywordseo="Gaming-startup">gaming startup</keyword> has announced a secondary investment from <keyword id="6497288" type="ORGANIZATION" weightage="20" keywordseo="steadview-capital">Steadview Capital</keyword>. </li><li>The 11-year-old <keyword id="138263" type="PERSON" weightage="20" keywordseo="startup">startup</keyword> has over 50 million users and aims to have 100 million by the end of 2019. </li><li>Its existing investors include <keyword id="1397792" type="COMPANY" weightage="20" keywordseo="Kalaari-Capital">Kalaari Capital</keyword>, Think Investments &amp; Multiples Equity.</li></ul>Indian gaming startup <keyword id="6214644" type="UNKNOWN" weightage="20" keywordseo="Dream11">Dream11</keyword> has entered the prestigious <keyword id="152045" type="ORGANIZATION" weightage="20" keywordseo="Unicorn">unicorn</keyword> club. The startup announced a secondary investment from Steadview Capital, an Asia-focused alternative asset manager. Steadview Capital comes on board by buying secondary shares from Dream11’s existing investors Kalaari Capital, Think Investments &amp; Multiples Equity. The existing investors will continue to stay on board. Secondary investments are when the new investor purchases shares from sources other than the issuer (employees, former employees, or investors). India now has over 15 unicorns, which are startups with the valuation of over $1 billion. The new additions include Delhivery and BigBasket. The 11-year-old startup has made it big in the Indian gaming space with over 50 million users and is also the official partner of the Indian Premier League - the cricket league which brought them most of their users. According to the company’s official release, Dream11’s user base has grown at a compounded annual growth rate (CAGR) of about 230% over a period of three years. “Providing great returns to our shareholders, whether investors or Dreamsters (employees), is very important to us and further reinforces their belief in Dream11. We will keep working hard and are targeting to end the year with 100 million users,” said Harsh Jain, CEO and Co-Founder, Dream11. The startup has a busy time ahead with the ongoing IPL and the upcoming cricket World Cup. At Dream11, it was a dream come true after multiple years of hard work. In an earlier interview with Business Insider, Bhavit Sheth, COO and co-founder, Dream11 had spoken about their journey so far. “As 22-year-olds we started this business, engineers who didn't know anything about business. We didn't even in our wildest imagination think that we will have over 52 million users in such a short time, with only a team of over 200 managing them and be at this scale,” said Sheth. See Also: <a href="https://www.businessinsider.in/dream11-is-eyeing-the-unicorn-tag-riding-on-ipl-and-cricket-world-cup-in-2019/articleshow/68458528.cms">2019 may be the biggest year for this 11-year old Indian gaming startup</a> <a href="https://www.businessinsider.in/gaming-startup-dream11-strikes-gold-as-the-official-partner-of-ipl/articleshow/68426121.cms">Gaming startup Dream11 strikes gold as the official partner of IPL</a>

Dream11 becomes India’s first gaming unicorn

<ul><li><keyword id="2709620" type="PERSON" weightage="20" keywordseo="grocery-delivery">Grocery delivery</keyword> startup <keyword id="4085901" type="PERSON" weightage="20" keywordseo="Milkbasket">Milkbasket</keyword> has acquired the Noida-based <keyword id="7465623" type="UNKNOWN" weightage="20" keywordseo="Veggie-India">Veggie India</keyword> for an undisclosed amount. </li><li>The founders of Veggie India along with the team would be joining Milkbasket. </li><li>Milkbasket had last raised a funding of $7 million in December, 2018.</li></ul>Groceries delivery startup Milkbasket has gone on to acquire one-year-old startup Veggie India for an undisclosed amount. With the acquisition, the founders of the Noida-based Veggie India Jainendra Upadhyay and Shailendra Upadhyay as well as all of their employees will be joining Milkbasket. This is also Milkbasket's first acquisition since their launch in 2015. Veggie India, which was launched in 2018, operates in Noida and Ghaziabad mainly for delivery of vegetables and fruits, according to its website. “The acquisition is in line with our growth plans for 2019 and adds further strength and distribution capabilities to the existing business,” Anant Goel, Co-founder and CEO of Milkbasket. Goel added that Milkbasket has an “aggressive growth plan.” In India, grocery delivery startups have been gunning for dominance in their fields. So, Milkbasket’s acquisition of Veggie Daily comes at a time when every other player like Big Basket or Grofers is upping their game as foodtech unicorn Swiggy enters the grocery delivery segment. In an official statement, the company said, “Having achieved positive unit economics within the first six months of the launch, Milkbasket is the most capital efficient model in the online grocery space as compared to its domestic and global peers.” With this acquisition, Milkbasket now has a customer base of over 100,000 households. Milkbasket, as its name gives it away, first gained popularity after its launch in 2015 for delivering fresh milk to Indian households and soon expanded their services to groceries too. Milkbasket has raised about $16 million from Mayfield Advisors, Beenext, Kalaari Capital, Unilever Ventures, Lenovo and Blume Ventures. Its last investment round was in December 2018, where it raised $7 million from US-based Mayfield Advisors at a <a href="https://www.vccircle.com/mayfield-leads-milkbasket-s-extended-series-a-round/">reported </a>valuation of about $30 million. See Also: <a href="https://www.businessinsider.in/swiggy-and-bigbasket-will-battle-softbank-and-mukesh-ambani-in-online-grocery/articleshow/68204293.cms">Online grocers are back in business in India with billions more to burn – and that may be good for consumers</a> <a href="https://www.businessinsider.in/delhivery-raises-395-million-from-softbank-enters-the-unicorn-club-of-india/articleshow/68287009.cms">Delhivery becomes India’s first unicorn in 2019, thanks to SoftBank</a>

Four years into the business, Milkbasket has acquired one-year-old startup Veggie India

<ul><li>Things have been challenging for small and medium scale businesses that are bearing the brunt of the <keyword id="91743" type="PERSON" weightage="20" keywordseo="lockdown">lockdown</keyword> due to low consumer spending and disruptions and delivery and production.</li><li>Canadian e-commerce company <keyword id="1715801" type="PERSON" weightage="20" keywordseo="Shopify">Shopify</keyword> has been working closely with <keyword id="6393272" type="UNKNOWN" weightage="20" keywordseo="MSMEs">MSMEs</keyword> to help them strengthen their online presence and to future-proof their business.</li><li>Sandeep Komaravelly, Director of International Growth, Shopify walks us through all that the platform has been doing and how that has helped support these businesses during these adverse times. </li></ul>The lockdown has hurt most businesses and sectors across the world. Most are now working on ways to weather the storm, to come out of it with minimal damage. However, the Medium, Small and Micro Enterprises (MSMEs) have had to face massive losses. It is no surprise that the MSMEs have been the focus of the government’s relief packages because without external assistance, it will be difficult for most of these businesses to sail through. This is where Shopify, a Canada-based e-commerce company comes in. Since its inception, the company has been working on empowering entrepreneurs by helping them create and develop their businesses by removing the barriers that exist in selling online. While it has been helping power businesses in around 175 countries around the world, in India, it has worked with brands such as Nush by Anushka Sharma, Raymonds, Blue Tokai, WoW Cosmetics, Starstruck and John Jacobs eyewear, to name a few. The role of Shopify is to help these organizations operate and grow their business across their own direct-to-consumer website, online marketplaces, and social networks, while remaining in full control of their business. As a part of their efforts to support these MSMEs during the lockdown when many of these businesses have been adversely impacted, Shopify came up with a range of offers to help small and medium businesses across India adjust to the new normal and to help them increase efficiency while selling online. The aim of these offers was to make it easier for businesses to get back on their feet by helping them offer their customers with a good shopping experience, while also helping reduce monthly costs. According to the platform, merchants using the platform can save over Rs 1 lakh in partner credits through Shopify’s eCommerce solutions from industry-leading service partners. We recently caught up with Sandeep Komaravelly, Director of International Growth, Shopify, who told us all about the platform and its efforts towards supporting MSMEs. Excerpts: Q) MSMEs have had to face the brunt of low consumer spends. What has your priority as an organization been in these last few weeks to make things easier for these businesses? Shopify helps entrepreneurs as they transform an idea into a business. We offer a platform so easy to use that merchants are free to focus on developing their products rather than overcoming technical limitations. Analyzing the impact of the pandemic in India and an in-depth analysis of how consumer behavior has changed, we have created solutions for merchants looking to set up and grow their online business. Through our network we are extending attractive offers from partners across categories. Over Rs 1 Lakh in partner credits can be saved with these offers from leading technology, solution and service partners such as Razorpay, PayTM, Shiprocket, Adyogi and Delhivery to name a few. We also hosted our first-ever virtual Reunite session in May to introduce our latest innovations on Shopify to help merchants from across the world future-proof their businesses. We have introduced a number of new features, such as Shopify Email, Pick-up, Express themes, etc for merchants in India. Q) What kind of impact has there been on <keyword id="44779" type="COMPANY" weightage="20" keywordseo="SMEs">SMEs</keyword> and MSMEs? Have you come across businesses that have had to shut shop due to the Covid impact? Even in usual circumstances, SMEs and MSME’s are more vulnerable to competition or the slightest change in the market. The pandemic and the subsequent lockdown has impacted the growth of their business. They have been facing major challenges like lack of financing, delay in payments, paused production and fall in consumer demand. Having shared this, in spite of the hurdles it has been inspiring to see the strong resilience showcased by the SME community. They have been agile and quick to adapt to the new normal of digitization. We have seen SMEs taking their business online and setting up e-stores to reach out to their customers in the fastest possible manner. There are some who are also selling masks and protective equipment addressing the need of the hour of their customers Q) What were some of the major challenges that these merchants faced during the lockdown days? How have you been able to help? The most immediate challenge for a merchant has been to be agile in moving online to safeguard their businesses and facilitating local delivery. In an immediate response to the challenges faced by merchants we have released a new one-page theme called Express that enables merchants to get online quickly. As of March 20, selling gift cards has been available to all merchants, and Shopify has seen more merchants utilizing this feature than ever before. We also introduced Shopify Email that helps merchants build more meaningful relationships with their customers, and to make email marketing easy and accessible to businesses who are new to digital marketing. Shopify also offers merchants flexibility to enable pickups, they can set up the option for customers to pick up their online orders at your retail store or any location that they choose. Q) You work with a lot of partners. How has this integration and collaborative model helped you strengthen your offering? Shopify’s partner ecosystem acts as a moat to the company. Developers build apps (plugins) for merchants that act as an extended feature set and help in greater product market fit across the world. Developers sell these apps globally through the Shopify app store and have built million dollar businesses out of India. India has always been the biggest export hub for software services. Service partners on Shopify help merchants build a website, design, do digital marketing and every possible service that an ecommerce merchant needs. This ecosystem helps merchants use Shopify in a Do-It-For-Me manner, and focus more time on their business and growth. We are presently working to grow our influencer network in India like we have in the US. Bloggers, Youtubers, educators et al help new entrepreneurs learn the specifics of ecommerce and how Shopify can be a platform that supports their business end to end. Q) What kind of business impact have you faced as an organization during the lockdown? One of the key trends that we have seen during this period is the demand for shopping locally. More than ever, merchants need efficient ways to connect with their local customers today and in the future. Globally, average daily local orders on Shopify for the six weeks ending April 24, grew by 176%, compared to the prior six weeks, coinciding with the introduction of physical distancing measures. As of April 24, 26% of brick-and-mortar merchants in Shopify’s English-speaking geographies were using some form of local pickup and delivery solution, compared to just 2% at the end of February. Shopify is accelerating and shipping products that will help merchants future proof their businesses. Historically, necessity breeds innovation. By making it easy to start and maintain a business, we continue to help merchants bring to life the innovations spurred by this unprecedented world event. We remain committed to removing the barriers that exist for merchants starting new businesses. Q) As we are slowly coming out of the lockdown, what were your learnings as a leader? We realize even more that preparedness is key and this refers to multiple scenarios. It is important that as organizations and business leaders we are quick to adapt to any given situation. It is also important to dedicate time and effort towards keeping employee morale high especially in situations like this. A dedicated and highly motivated workforce will strengthen any organization and ensure a joint effort towards meeting organization goals even during a downfall.

You Searched For "delhivery employees" and got 13 results

Tough times will make startups go for ‘hero teams’, slash ad budgets and focus on profits

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Deepinder Goyal donates his Zomato stock options worth ₹700 crore to offer free education for delivery partners’ children and more

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As Zomato, Paytm and new-age start-ups struggle at bourses, their unlisted peers stare at funding winter

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10 million people tried Ola for the first time last fiscal year, says CEO Bhavish Aggarwal

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Ola raises half-a-billion dollars from Temasek and Warburg ahead of its IPO

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Zoho Corp invests $5 million in medical devices startup Voxelgrids

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Carlyle, Brighton Park invest $200 million in Indian healthtech company Indegene

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Another unicorn – Indian SaaS startup Zenoti enters the coveted club with a $160 million funding

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Zoom, Dropbox backer Salesforce Ventures makes its first investment in India in HR tech startup Darwinbox, which claims to have grown by 200% during lockdown

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A former Bombay Shaving Company exec is helping brands like boAt, MamaEarth go big on ecommerce ⁠— and he now wants to take it abroad

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Dream11 becomes India’s first gaming unicorn

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Four years into the business, Milkbasket has acquired one-year-old startup Veggie India

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How Shopify is helping MSMEs and SMEs sail through the lockdown by helping them strengthen their online presence

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