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10 Indian Firms to enter prestigious $1 billion valuations Unicorn Club (April 2021)

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The Indian startup platform has now welcomed Ten new Indian firms to the prestigious $1 billion valuations Unicorn Club just four months into 2021. According to a joint report by Nasscom and global management and strategy consultancy Zinnov, the Indian technology startup sector will strive to evolve in the post-pandemic environment as a result of accelerated digital transformation and acceptance of emerging technology. Have you ever questioned why certain companies are granted this Unicorn?  

What are the prerequisites for this title? A unicorn club is a startup valued at $1 billion or more in the venture capital market. When Aileen Lee, the owner of Cowboy Ventures, pointed to the 39 startups with a value of over $1 billion as unicorns, she came up with the name as unicorn startups. Also, startups were included in the unicorn club.

Decacorns are companies with a market capitalization of more than $10 billion (a super unicorn). Decacorn businesses include Dropbox, SpaceX, and WeWork, to name a few are already included in the super unicorn club.

Here is information on 10 new Indian firms that entered till April 2021 to  $1 billion valuation unicorn club:

Digit Insurance 

Digit Insurance is a three-year-old tech Indian firm startup based in Bengaluru which is the 1st firm to enter the $1 billion valuation unicorn club. In valuation, it has approximately touched $1.9 billion after the closure of the recent funding round from its investors named: A91 Partners, Faering Capital, and TVS Capita.

Billion Valuations Unicorn Club - Digit Insurance

Billion Valuations Unicorn Club – Digit Insurance

According to a Digit statement, premium revenue increased by 31.9 percent to US$186 million from April to December 2020, and the company has assisted about 15 million consumers since its formation. Despite the economic downturn impacting most companies, the insurer was lucrative in the first three quarters of financial year 20-21.

The uniqueness of the firm

Let us watch what uniqueness made the Indian firm enter in unicorn club:

With features including smartphone-enabled self-inspection and audio statements, the software offers technology to ease the task of purchasing general insurance. To automate operations for its clients, Digit relies entirely on cloud-based technologies. 

Through the pandemic, the firm incorporated a Group Insurance plan for Covid-19 and seven such vector-borne diseases, namely dengue, malaria, filariasis (payable only once in a lifetime), kala-azar, chikungunya, Japanese encephalitis, as well as the Zika virus, according to the firm.

In terms of the popularity of their applications designed to automate and speed up claims procedures, they have a high penetration rate, with 85 percent of smartphone claims being completed by self-inspection.

This indicates that consumers are pleased with the process and are reaping its rewards.

The company places a strong emphasis on data analytics, which allows them to create personalized solutions for their clients. They will do quicker reconciliation, float detection, fraud management, and claims settlement thanks to machine learning.

The company offers insurance namely: Health, Car, Bike, Commercial and Travel

Innovaccer

Innovaccer, a San Francisco-based startup with tech centres in Noida, Chennai, and Bengaluru, has recently raised $105 million in Series D funding, valuing the company at $1.3 billion and entered in unicorn club.

Innovaccer

Innovaccer

New investors include Omers of Canada and McKinsey partner Ajay Gupta, as well as existing investors Tiger Global, B Capital, which was founded by Facebook co-founder Eduardo Saverin and Raj Ganguly, formerly of Bain Capital; Dragoneer, Steadview Capital, and Microsoft’s VC fund M12.

The startup had previously secured $70 million in a Series C round in February of this year. The firm has raised $229.1 million since its establishment in 2014.

The Uniqueness of the firm

Innovaccer is a clinical data activation firm dedicated to providing optimal healthcare through the use of cutting-edge analytics and transparent data.

Innovaccer seeks to best use all of the evidence that healthcare has struggled so long to gather. The company’s cloud platform gathers healthcare data from a variety of platforms, organizes it in one location for easier access, and then offers actionable findings resulting in improved results and lower costs.

To cope with the pandemic, the firm has developed technologies such as medication stock levels, personnel training for Covid-19 demand, real-time feedback on vital data, and a telehealth portal for patients. Other healthcare digital technologies being developed by the firm include online patient tracking, integrated payments, and total healthcare data systems.

The business has been concentrating on the uniqueness of digitizing technologies for hospitals, clinics, and patients by using the millions of data points present in the healthcare sector. InCare, one of its core offerings, is probably the most innovative care management method available, integrating patient assignment, automated outreach, collective worklists, and the ability to monitor team and person effectiveness.

Hence the above struggle that never to give up made the firm in the second position of the unicorn club

Five Star Business Finance

Five Star Business Finance is the Fintech Indian firm that lends loans to small businesses, recently raised $234 million for the value of $1.4 billion and has taken the third position in entering the unicorn club of $1 billion valuation club in India.

The raising round included existing investors namely: Sequoia Capital India, Norwest Venture Partners, and also some new investors like KKR and TVS Capital. The fund will be made by a mix of primary allocation and secondary shares offered by Morgan Stanley Private Equity, an existing investor. Matrix Partners and TPG Capital, the company’s other existing investors, remain committed.

The uniqueness of the Company

Five Star offers Small Business Loans and Small Mortgage loans to qualified borrowers to fulfill their corporate and personal demands, following thorough underwriting of their revenues and expenses and backed by collateralized by their home property.

Five Star has been meeting the needs of this market as a specialized financial management organization, funding those that were already thought to be financially unviable, with this motto it entered the unicorn club. Businesses that they deal for can be seen and felt in everyone’s daily lives, and they make a huge difference on the field.

Their clients range from small shop owners, flower sellers, maids, masons, and small and medium businesses, which make up the core of India’s economy. The company is a Reserve Bank of India (RBI)-registered Non-Banking Finance Company (NBFC). The company’s existence is in 262 branches extended in eight states of India in the Southern and Central regions of the nation.

Meesho

Meesho, an online social website, recently entered the unicorn club by raising $300 million in a new round backed by SoftBank Vision Fund 2. The firm currently has a market capitalization of $2.1 billion. Meesho, an Indian firm based on an online sales portal for micro, small, and medium enterprises, aims to use the funds to grow its talent base in all fields of technology, product, and industry.

Meesho

Meesho

Present investors Prosus Ventures, Facebook, Shunwei Capital, Venture Highway, and Knollwood Investment have participated in the round and made Meesho in the list of unicorn clubs. The startup intends to use the funds to provide a single technology platform for 100 million micro-entrepreneurs

Individual companies owned and operated by woman entrepreneurs and homepreneurs, who have been financially stable and profitable through Meesho over the ages and in the era of a pandemic it has been boon to many women that are now self-preneur and carving out their own personalities, are among the small businesses Meesho is targeting. 

The uniqueness of the firm

Meesho has provided a forum for most small business entrepreneurs to sell to the next generation of online consumers by using artificial intelligence and machine learning. Meesho is a platform that assists over 13 million independent entrepreneurs in starting online businesses The tech developer has shipped orders from over 100,000 licensed vendors to over 4,800 locations, as part of a plan to expand e-commerce outside the metro locations now served by major online retailers.

Meesho has been a boon in pandemic has many lost their job and to do something from home was only the option so many users signed in the app and with the help of investors, it is the growing Indian firm entered in unicorn club.

Meesho’s resellers normally use WhatsApp and Instagram to identify product customers. Barnwal and Aatrey had to reconfigure their whole supply chain network to market daily-use goods in the homecare and sanitation facilities soap, masks, and grocery categories in order to avoid the pandemic.

These segments weren’t normally sold on Meesho, but the business wanted to market them to keep their resellers’ businesses afloat.

Infra.Market 

Infra. Market, a B2B commerce firm, has secured $100 million in Series C funding led by Tiger Global. This round of investment was led by existing investors Nexus Venture Partners, Accel Partners, Sistema Asia Fund, Evolvence India Fund, and Fundamental Capital GmbH. With this round of funding, Infra. Market’s capitalization has risen to $1 billion which makes it the third firm to join the unicorn club

Infra Market

Infra Market

Small companies, such as paint and cement suppliers, benefit from Infra. The market’s in enhancing product quality and compliance with different regulations.

The uniqueness of the firm

Here is the uniqueness of the company that made it enter the unicorn club:

Infra. The market has become one of the most innovative Indian firms by leading technical advancement in the production and supply of building supplies for the infrastructure and construction industries by optimizing logistics, investment, procurement, and project analysis of large projects in key markets throughout the country.

The group has experienced rapid growth, owing to its founders’ and management team’s robust business model and broad sector domain expertise, and hence with this amazing growth, it has been listed in the unicorn club. The company, which currently operates around a half-dozen private label brands, intends to grow into new segments such as electrical goods.

CRED

CRED, a Bengaluru-based fintech Indian firm owned by Kunal Shah, has become a unicorn after closing a $215 million Series D investment round with a post-money value of $2.2 billion. CRED is an organization that partners with financial services and consumer brands to encourage consumers for settling their credit card payments on time. It was created less than three years ago. Coatue Management LLP and Falcon Edge Capital, a potential investor. In very little time with good funding, the company has been listed in the unicorn club

Cred

Cred

CRED had previously disclosed a $86 million Series C investment round in January 2020, with a valuation of $800 million. CRED is a credit card bill payment service that was launched in 2018 by Kunal Shah, who is also the co-founder of Freecharge. According to the company, it has a Cred Pay service for quick checkouts on its in-app e-commerce site, which has upwards of 1,800 brands.

The uniqueness of the firm

You win loyalty points for every Rupee you spend for your bill, in addition to being a one-stop portal for paying your credit card bills. The loyalty points are known as ‘CRED coins,’ and they can be redeemed for a variety of items on the CRED app. On the platform, offers are posted on a daily basis, and you can encash your CRED coins (also known as “burning CRED coins“) in a variety of categories.

You will keep track of the payment history for all accounts that have been linked to the app, as well as future bills.

You can win cashback by using features like ‘Kill the bill.

Any time your card bill is generated, you’ll receive a notification, in case you forget to pay and don’t make a delayed payment. With this uniqueness of giving CRED coins, users, therefore, can get attracted to and by this strategy, the company has cracked to unicorn club.

PharmEasy

PharmEasy links over 60,000 brick-and-mortar pharmacies and 4,000 hospitals in 16,000 zip codes across India as an online healthcare network. It digitizes the whole supply channel making it simple for pharmacies to obtain medications.

Pharmeasy

Pharmeasy

PharmEasy makes the online channel faster and with links with many pharmacies, it has gained a position in the unicorn club.

API Holdings, the parent organization of Mumbai-based online pharmacy Pharmeasy, is receiving a $350 million (roughly Rs 2,570 crore) investment led by Prosus Ventures and TPG Growth of the United States.

According to sources familiar with the matter, the investment estimated PharmEasy at $1.5 billion post-investment, making API Holdings the newest member of the Indian firm unicorn club —privately owned startups estimated at $1 billion.

The uniqueness of the firm

PharmEasy has been simplified. The brand is using the mobile, app, and web technology to ensure that customers have accessibility to the latest healthcare products at the best prices in the least amount of time. But keep in mind that lower prices do not imply lower quality.

Customers are sometimes unsure of how they obtain their medications and, as a result, do not have full confidence in e-pharmacy. To deliver the best experience possible, PharmEasy strives to keep all of its consumers updated and offers a clear platform hence making PharmEasy enter the unicorn club.

Thus according to filings made with the Competition Commission of India, the e-health firms Medlife and PharmEasy have decided to merge (CCI). As per the CCI filing, the planned merger involves API Holdings, the parent of PharmEasy, acquiring 100% equity shares of Medlife in exchange for 19.59% equity share ownership.

Groww

Groww, an investment marketplace, announced on Wednesday that it had raised $83 million in a Series D financing round led by Tiger Global Management, valuing the company at over $1 billion. Sequoia India, Ribbit Capital, YC Continuity, and Propel Venture Partners were among the existing investors who took part in the round. Recently only Groww has named its company in unicorn club with its series D round.

Groww

Groww

Lalit Keshre, Harsh Jain, Neeraj Singh, and Ishan Bansal, four ex- Flipkart executives, formed the online trading company Groww in 2017. Groww now has over 1.5 crore subscribers. Since June 2020, over 20 lakh fresh Demat accounts have been launched on its website.

The uniqueness of the firm

Groww is a life coach or “buddy” that focuses on convenience and clarity. Intelligent UI and UX are at the heart of the platform. Customers can purchase and trade mutual funds online through this startup’s paper-free trading options.

The company employs technologies such as image processing and machine learning techniques. This aids in the automation of physical workflows, the reduction of errors, and the enhancement of customer comfort along the path.

Groww the growing company with the usage of technologies and automation making it the 8th in the unicorn club of Indian firm startup.

Sharechat

The newly added firm Sharechat is in the ninth position in the unicorn club. Mohalla Tech, the parent organization of Bengaluru-based media platforms firm ShareChat, has joined the unicorn group with a $502 million Series E funding round. The group, which also owns the short video app Moj, has now hit a valuation of just over $2.1 billion as a result of the recent round of funding.

Sharechat

Sharechat

Lightspeed Ventures and Tiger Global led the funding, with involvement from Snap Inc, Twitter, and India Quotient, and others.

The uniqueness of the company

The Indic language-based social media platform ShareChat possesses its roots in these organizations, and while you may not have heard about it if you’re reading this, the software has been slowly increasing over the last two years.

It is just information sharing across various peoples based on your preferences. Another unique feature of this software is that it only enables Indian (regional) languages to be used in messages and videos.

This feature is what helped this app become a hit for those who didn’t speak English or needed content in their mother tongue. ShareChat’s USP of language enabled app has set a foot in the unicorn club.

Gupshup

It joined the rising unicorn club after receiving $100 million in financing from Tiger Global at a valuation of $1.4 billion.

Gupshup

Gupshup

Beerud Sheth, an IIT-Bombay alumnus, co-founded Gupshup, a Silicon Valley-based conversational messaging tech startup. Gupshup’s goal is to create features that enable companies to better serve their consumers via mobile messaging and conversational experiences.

The uniqueness of the company

Via conversational texting, Gupshup encourages improved customer experience. Gupshup is the world’s most popular conversational messaging network, with more than 6 billion messages exchanged per month.

Hundreds of millions of large and small companies in growing markets use Gupshup to build conversational environments in marketing, advertising, and customer service in market segments.

Gupshup’s carrier-grade product includes a single communications API for more than 30 platforms, a robust conversational experience-building toolkit for any use case, and a network of new business collaborations with messaging channels, mobile suppliers, ISVs, and operators.

These Indian Firms have created conversations as a key component of their customer service performance thanks to Gupshup. With this use of technology of developing the conversational messaging network, it has signed on in unicorn club.

Conclusion:

This development is predicted to expand in 2021, according to Indian startups. CropIn, agri-tech startup, BlackBuck, auto-tech startup CarDekho,  Urban company, and ed-tech startup Vedantu are some of the possible upcoming Indian firms expected to enter in unicorn club of $ 1 billion valuations 2021.

Thank you for your precious time in reading this blog. Stay tuned for upcoming blogs with Robust Stories.

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1 Comment

1 Comment

  1. Ankita Jaiswal

    April 13, 2021 at 7:55 pm

    Thanks for the valuable information. Today starting a business is easy but to be the best is a tedious task. Through your info, one can get a great push with their startup in the race of becoming a unicorn firm. This information can give startups a boost. Thanks for sharing.

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