Entrackr News

Friday, October 22, 2021

Nykaa Updates Its Latest Equity Offer to Raise 630 Crore in IPO

Nykaa IPO News

A marketplace that is primarily focused on beauty, Nykaa has updated its red prospectus for herrings (DRHP) to boost the value of its new offering by Rs 100 crore. Based on regulatory reports, Nykaa is now seeking to raise around 630 crore in IPO.

In August, the company stated within the DRHP, that it planned to raise 525 crore through the forthcoming Initial public offer (IPO). According to media reports, Nykaa could raise $500 million (Rs 4000 crore) however, the company did not reveal the exact amount of its IPO it had announced in the DRHP at a price of between $4.5-5 billion (Rs 35,000-40,000 crore).

According to sources in the industry the company has been granted acceptance from SEBI for the public listing of its stock and will likely be listed at the exchange before the end of the month.

Planning of lower stakes in Nykaa IPO

Nykaa will use the fresh funds to open warehouses and stores as well as to fund operations online and also repay its borrowers. Promoter Sanjay Nayar Family Trust and Nykaa's investors: Lighthouse, TPG Growth, Sunil Munjal among others will lower their stakes in the planned Nykaa IPO.

If the company is listed at $4.5-5 billion, it would be a 2.5X increment from the $1.8 billion value in November of 2020 when Massachusetts-based Fidelity Investments had picked up additional shares of the Mumbai-based company.

Contrary to most companies that are preparing for public listing, Nykaa is a profitable venture. Based on its DRHP report, the company reported the sum of Rs 61.94 crore in profit and operating revenues of 2440.89 crore for the fiscal which ended March 2021.

Also read: Licious becomes India’s first unicorn company in the D2C segment

The fact that promoters are a part of Nykaa differs from other IPO-bound businesses. Falguni along with Sanjay Nayar, along with their trusts of family members hold 53 percent of the company with a variety of rights that are favorable.

Nykaa is also older than the other internet-based consumer businesses that are preparing to go public. It was founded in 2012 by Nayyar back in the year 2012 Nykaa is able to fulfill more than 60,000 daily orders it claims that they have more than 15 million users registered. There are 73 physical stores spread across 38 cities across India with three stores at the close of FY21.

If you want to stay updated with the latest ongoings in the start-up industry, then visit our official website “Entrackr”.

Wednesday, October 13, 2021

Dream 11 suspended its operations post FIR registered against them in Karnataka

Fantasy sports website Dream11 has suspended operations for customers in Karnataka after a first Information Report (FIR) was made against Dream11's founders for violating the law prohibiting betting and wagering on games played online.

Dream11 continued to be operational throughout the state, until the beginning of Sunday, even though its rivals such as Mobile Premier League (MPL), Paytm First Games and RummyCircle have been unable to offer their services to users of Karnataka following the fact that the state legislature adopted a law prohibiting betting and wagering platforms and money betting.

"In order to allay our users' concerns, we have decided to suspend operations in Karnataka," stated Dream11 in a press release.

According to the company, they have been informed by Federation of Indian Fantasy Sports (FIFS) that the Karnataka Police (Amendment) Act 2021 is not applicable to its members Fantasy Sports Operators. "The FIFS format of Fantasy Sports has been upheld by the courts of India as not amounting to gambling, betting or wagering," the statement reads.

The app was withdrawn soon after an FIR was registered against the co-founders of Dream 11 in the Annapoorneshwarinagar Police Station in West Bengaluru.

Wednesday, October 6, 2021

Licious becomes India's first unicorn company in the D2C segment

Latest Startup Funding News

Licious becomes India’s first D2C unicorn

Direct-to-consumer seafood and meat brand Licious became the first Indian unicorn in the D2C segment when the brand raised $52 million under the guidance of IIFL's Late Stage Tech Fund. It is also the 29th company that has achieved the status of a unicorn in 2021 .

As of June this year, Bengaluru's firm was able to raise $192 million in the Series F round of funding that was led by Temasek and Multiples Private Equity. Brunei Investment Agency and existing investors 3one4 Capital, Bertelsmann India Investments, Vertex Growth Fund as well as Vertex Ventures Southeast Asia and India were also part of the round.

"Even though the funding for the D2C sector has grown significantly, FMCG is still not considered the most attractive category," said Vivek Gupta and Abhay Hanjura who co-founded Licious.

"The fresh meats and seafood sector is still largely underserved and unorganised that holds a vast opportunity of $40 billion," they said.

Thursday, September 23, 2021

Ola, Uber, Swiggy & Zomato Workers Filed Petition in Supreme Court for Their Social Security Benefits

A petition has been filed in the Supreme Court today praying for social security benefits for gig employees working for companies such as Ola, Uber, Swiggy and Zomato. It also asks that the court acknowledges that these companies have breached the rights of their gig workers by restricting the manner in which they utilize their platforms.

The petition was submitted through the Indian Federation of App-based Transportation Workers, a worker's union that advocates for the rights of gig-workers working for companies such as Ola, Uber, Swiggy and Zomato as well as other companies.

The union in the petition claims that they fall within what is known as "unorganised people" in India's unorganised Worker Social Welfare Security Act 2008 . They are therefore entitled to social security benefits. Since this hasn't been the case in the past the union feels "exploited".

"Denial the social insurance benefits to those referred to as "gig workers" as well as the "platform worker" has led to the exploitation of these workers through forced labor in accordance with Section 23 of our Constitution. The right to live is the ability to earn a living under fair and decent conditions of employment," the plea said.

Workers who work as gigs in India have complained for years about their uncertain earnings and a poor base wage and an algorithm is said to force them to travel hundreds of kilometers every day for very little cash. All this with little or none social security benefits, like gig workers around the world.

Wednesday, September 15, 2021

Latest Startup IPO News - Freshworks and Pine Labs

Freshworks Startup Financials

Freshworks Inc. is planning to raise nearly $1 billion through a public listing in the US at a valuation of almost $9 billion, which will make it one of the most valuable software-as-a-service (SaaS) startups from India.

Freshworks filed a new filing Monday with the US Securities and Exchange Commission. It stated that it will offer 28.5 million Class A shares at prices between $28 and $32. The unicorn hopes to raise $798 million to $912 million via the initial public offering (IPO).

Freshworks has 2 headquarters b/w San Mateo, California (USA) and Chennai (India). Founded in India, most of Freshworks’ technology and operations team is based in the country.

Pinelabs Startup Financials

Pine Labs, a merchant platform company, may go public sooner than anticipated. According to regulatory filings, the company passed a resolution to make its Singapore-based holding company public.

This renaming of the company from Pine Labs Pte has resulted in Pine Labs Limited being the new company name. It indicates that preparations for an IPO have begun to gain momentum.

According to Sources, the company will likely list in the US within the next 10-12 month. Although the company has not yet provided details about the issue or valuation, a TOI report estimated that Pine Labs would be seeking a $5 billion valuation for a potential IPO.

The conversion from a private company into a public company has taken place weeks after the closing of its $600m funding round at a valuation of $3.5 billion. Pine Labs raised $285m in May, and another $315 million in July. Sources claimed that the financing round was the final private financing for Pine Labs.

Pine Labs, which would be the fourth fintech company to move closer to a public list, will join Policybazaar, Paytm and Mobikwik. Vijay Shekhar Sharma's firm wants to be one of the largest IPOs with a valuation between $25-30 billion.

Pine Labs was also instrumental in facilitating Sequoia Capital's partial exit via a secondary transaction. Seven investors, including Duro Capital, Moore Strategic Ventures, Marshall Wace and Lenarco Limited, received shares in the VC firm that were worth $225-$230 millions.

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Friday, September 10, 2021

Latest IPO News

Stocks of four IPOs recently listed fall before anchor lock-in expiry

Four companies who made their stock market debut last month saw their shares fall, just before the lock-in period ended for anchor investors. Krsnaa Diagnostics and Windlas Biotech lost between one and three percent during Thursday's trade. On the other hand, the Nifty Smallcap 100 index rose 0.64 percent. All four companies will be able to lock in their anchor investors for a 30-day period on Monday.

BoAt is planning an IPO and estimates a valuation of almost $1.4 bn

BoAt is one of India's top-selling earwear brands and wearable categories. One of three people spoke on condition of anonymity to say that they are looking at a valuation around $1.4 billion (around Rs10,000 crores) for their IPO, which is expected between March and June next year.

India is looking for foreign institutional investment up to 20% in LIC IPO

According to a government source, the government may allow foreign institutional investments of up to 20% to Life Insurance Corporation. India's largest-ever IPO is expected to be the listing of LIC. The government aims to raise Rs. Its stake sale will bring in 900 billion dollars ($12.24 billion). This will make it easier for fund-raising to be completed for the IPO that the government has planned for the company, most likely during the current financial year. Due to concerns about the ability of the Indian stock markets to absorb such an offering, investors will be offered two portions of the IPO.

Also Read: Latest updates on Online Education

Sansera Engineering IPO will open Sept 14

Sansera Engineering's initial public offering (IPO), will be made available to the primary market starting Tuesday, September 14. The price range for the offer is Rs 734-744 per unit. The Bengaluru-based company's IPO is looking to sell 17,244,328 shares from its existing shareholders and promoters. The OFS is open to existing investors, including Client Ebene and CVCIGP II Employees Ebene. Promoters include Unni Rajagopal, Unni Singhvi and D Devaraj.

Paytm appoints business heads prior to IPO

One97 Communications, the company that owns Paytm's brand, has promoted at least four people to the position as chief business officer (CBO), for its various verticals ahead of its eagerly awaited November-listing.

Read latest Paytm news: Paytm sets up separate subsidiary for its payment aggregator business

According to their Linkedin profiles, founder Vijay Shekhar Sharma's brother Ajay Shekhar Sharma and Ripunjai Gaur were elevated to CBO in the last month from senior vice-president positions.

Friday, September 3, 2021

Latest updates on Online Education

Byju’s Latest Funding News

Byju’s, one of the leading and most valuable edtech companies, valued at $16.5 billion, has reported its revenues for 2019-20 at Rs 2,434 crore while its Indian competitor Unacademy is worth only $3.5 billion. Byju’s revenue has increased to 81 per cent over the previous financial year. The company reported a net profit of Rs 51 crore in 2019-2020 which is a 152 per cent increase from the last financial year.

The company's expenses in the current financial year were Rs 2,383 crore. Byju's founder, Chief Executive Officer Byju Rajeendran, holds 50.34 percent. Riju Ravindran holds 20.15 per cent. Divya Gokulnath is Byju Raveendran’s wife and holds 10.64 percent.

Byju's foreign currency earnings were Rs 306 crore for FY20, compared to Rs 168 crore for FY19.

As the global pandemic has increased the popularity of online education, the company is currently on an acquisition spree both in India and worldwide. While schools and offices are closed, students and professionals are seeking to improve their skills. Sources say that the start-up purchased six companies in India and the US in this year's fiscal year. It spent more than $2B in six months on these acquisitions.

Vedantu Latest News

Vedantu, one of the leading pioneers in LIVE Online Learning have introduced V-Nurture and Super School, which are unique programs that allow students to develop their skills as well as enrich their lives. V-Nurture and Super School are designed by industry professionals and academicians to unleash a student's hidden potential beyond academics. The program offers extra-curricular activities to students in kindergarten through grade 13. It includes a range of curricular activities from career counseling, financial literacy, career counseling to workshops for parents and students.

V-Nurture offers students in grades 6-13 the opportunity to improve their 21st century skills such as personality development, public speaking and critical thinking. Super School offers live master classes in yoga, storytelling and arts, crafts, STEM, general awareness, and many other subjects, starting at kindergarten through grade 8. All students have free access to top-quality extra-curricular and cocurricular content, taught by experts in their respective fields.

For more updates on latest funding news on Byju’s and Vedantu visit Entrackr.