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STARTUP DIGEST: Here’re the top startup news of the day

STARTUP DIGEST: Here’re the top startup news of the day

STARTUP DIGEST: Here’re the top startup news of the day
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By Shruti Malhotra  Aug 27, 2020 3:48 PM IST (Updated)

There were many development in the startup space today, which include Byju's raises Rs 909 crore from DST Global, Seller body files anti-competitive case against Amazon India; Alibaba arm Ant Group highlights 'Significant influence' over Paytm, investments in Zomato, in IPO Prospectus; Credolab raises $7 million In Series-A investment round led by GBG.

There were many development in the startup space today, which include Byju's raises Rs 909 crore from DST Global, Seller body files anti-competitive case against Amazon India; Alibaba arm Ant Group highlights 'Significant influence' over Paytm, investments in Zomato, in IPO Prospectus; Credolab raises $7 million In Series-A investment round led by GBG.

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Here’s a wrap of all the news from the startup universe:
Byju's raises Rs 909 crore from DST Global
Education technology decacorn Byju's has raised more funding as part of its ongoing Series-F round, raising Rs 909 crore from DST Global. DST Global is an investment firm led by Russian billionaire Yuri Milner.
As per regulatory filings sourced from paper.vc, Byju's, in a virtual general meeting on August 19, issued shares to DST Asia, DSTG VI Investment and DSTG VII Investment, funds run by DST Global.
The company in its filing said it intends to raise Rs 908.96 crore.
The company had recently raised funding from Silicon valley investor Mary Meeker's fund BOND capital, which valued the company at over $10 billion. Before that, Byju's had already raised nearly $500 million at the beginning of the year from Tiger Global and General Atlantic.
Byju's recently made a $300 million cash acquisition of online coding learning platform WhiteHat Jr.
Byju's says it has 64 million students cumulatively learning from the app, and has 4.2 million annual paid subscriptions.
Seller body files anti-competitive case against Amazon India
Amazon could face more investigations by the competition watchdog in the country, as online seller body All India Online Vendors Association (AIOVA) has filed a case against the ecommerce giant, accusing the company of anti-competitive practices.
The association filed the case with the Competition Commission of India (CCI) on August 10, and as per filings it has named Amazon Seller Services, Amazon Wholesale India, Amazon Retail India, and two sellers on the platform - Cloudtail and Prione in its complaint.
AIOVA, which represents 2000 online sellers, has alleged violations by the company under Section 3 of the Compeition Act, which deals with anti-competitive behaviour.
AIOVA has alleged that Amazon engages in deep discounting, uses third-party seller data for its own private labels, and that it offers preferential treatment to its sellers through its platform fees.
Amazon India in a statement said: "Amazon.in is a pure 3P marketplace. Sellers on Amazon.in have the absolute discretion to decide what products to sell and their prices. Amazon is compliant to all relevant laws of the land and operates the marketplace with high degree of transparency and uniformity.“
Alibaba arm Ant Group highlights 'Significant influence' over Paytm, investments in Zomato, in IPO Prospectus
Chinese technology major Ant Group has reiterated in its IPO prospectus that it has significant influence over Paytm's holding company One97 Communications in which it has a 30.33 percent stake.
Ant’s stake in Paytm would be pegged at around $5 billion, based on its total $16 billion valuation after it raised $1 billion in November 2019, as per reports.
Ant Group is a part of Alibaba Group. Besides Paytm, Ant also highlighted its investment position in Zomato – where it holds a 25 percent stake. The food delivery platform is yet to receive $100 million of the $150 million it had raised from existing backer Ant Group, according to Moneycontrol.com.
Ant said it has made its interests known after the Centre mandated that all investments from bordering countries will need government approval, stating, "Separately, in 2020, a change in foreign investment regulation in India led to our further evaluation of the timing of our additional investment in Zomato.”
Credolab raises $7 million in Series-A investment round led by GBG
CredoLab, a leading developer of bank-grade digital credit scorecards based on smartphone metadata, has secured $7 million in its Series-A round funding led by GBG, the global specialist in Identity Data Intelligence.
In addition to GBG, the round saw participation from Walden International, an existing investor and Access Venture Capital, among other new investors. CredoLab develops bank-grade digital scorecards for banks, lenders, e-commerce, travel, ride-hailing, e-wallets, insurance, and retail companies; or essentially for any business that needs to make better credit decisions.
CredoLab claims it uses the best source of privacy-consented, and permissioned data - smartphone and web metadata to help its clients to expand the market share and decrease their cost of risk in real time. Since its inception in 2016, CredoLab has powered almost $2 billion in loans issued by over 70 clients across 20 plus countries.
Last-mile logistics platform Exprs raises seed funding to expand business
Micro logistics platform Exprs has raised Rs 4.5 crore in seed funding led by angel investor Sweta Rau and former director of legal at Sequoia Capital Sandeep Kapoor. Funding platform LetsVenture, AngelList and DCF Advisory also participated in the round. The Hyderabad-based company had earlier raised Rs 2.2 crore in the pre-seed round.
Exprs services the last mile or hyperlocal logistics space, using technology to solve the inefficiencies that plague this segment. It has set up a series of nano distribution centres across high demand clusters and works with ecommerce platforms, D2C brands, MSMEs & entrepreneurs for the delivery of goods to over 2 million consumers within 500 meters of its nano distribution centres called ‘Exprs Points’.
Founded in 2018, the company is operational in Hyderabad, Bangalore, Mumbai and Chennai. It is now looking to expand its footprint in the existing cities and move into other top cities in the country. It is targeting a portfolio of 100+ D2C & ecommerce brands in the next 12 months.
Uber launches on demand 24×7 auto rentals service
Ride rental platform Uber has launched an on demand 24×7 auto rentals service in India.
The service allows riders to book an auto and its driver for several hours with the liberty to make multiple stops along a journey. The service is now live in Bengaluru and is available in Delhi-NCR, Mumbai, Hyderabad, Chennai and Pune.
Prices start at Rs 169 for a one-hour/ten km package with the option of selecting from multiple hourly packages that can be booked up to a maximum of eight hours.
The company said, “With Autos being the preferred mode of transport for millions of Indians, Uber hopes to enhance rider experience by offering mobility solutions that fit the needs of citizens as they resume travel in the new normal”.
Sequoia Capital top investor in India’s unicorns, followed by SoftBank and Steadview Capital, China’s Tencent ranked 11: Hurun report
Venture capital firm Sequoia Capital India is the top investor in Indian unicorns, according to a new report by the Hurun Research Institute.
The Indian arm of American investment firm Sequoia Capital India is currently backing eight Indian unicorns including Byju's, OYO, Zomato, Unacademy, and SaaS players Druva and Freshworks, among others. Japan’s technology conglomerate SoftBank and UK-based Steadview Capital have seven investments each in India, as per Hurun India Top Unicorn Investors List 2020.
Interestingly, the report features only one unicorn investor from China- Tencent Holdings. Tencent has so far invested in three Indian unicorns, shares the podium with a mix of Indian and global investors like Chiratae Ventures, IFC, General Atlantic, Bessemer India Capital and Accel, among others. Fantasy gaming platform Dream11, the 2020 title sponsor of Indian Premier League is part of Tencent’s India portfolio along with edtech decacorn Byju’s and food delivery platform Swiggy.
Chinese e-commerce giant Alibaba Group with stakes in India’s top unicorn Paytm, PaytmMall, food delivery company Zomato and grocery delivery company BigBasket has used its Singapore investment arm and hence does not feature in the list of unicorn investors from China. The Hurun India Top Unicorn Investors List 2020 ranks investors using regulatory filings. It is a compilation of all the investment firms that have invested into three or more Indian unicorns (companies valued over $1 billion), as of August 20.
Prosus launches ‘Social Impact Challenge For Accessibility’ in partnership with Invest India and Social Alpha
Prosus, the global consumer internet group of Naspers, has launched the Prosus Social Impact Challenge for Accessibility. The challenge is a social impact investing challenge where startups with the most innovative solutions in the assistive technology space will compete for an annual grant. Prosus is committing RS 16,500,000 over three years to Prosus SICA, and each year will award grants to the top three startups.
Prosus SICA has been developed in partnership with Invest India, the national investment promotion and facilitation agency of India, and Social Alpha, an initiative supported by Tata Trusts. Startup India Hub will host the programme on its website.
Dineout launches takeaway services with over 5,000 restaurants in India
With the global pandemic altering lifestyles and eating out habits, dining out and restaurant tech solutions platform Dineout has launched contactless ‘Takeaway’ on their app.
This will enable users to pre-order food and choose for safe self-pick-up from their favourite restaurants. With an initial launch featuring over 5,000 leading restaurants across Delhi-NCR, Mumbai, Bengaluru, Kolkata, Pune, Hyderabad, Chennai, Ahmedabad, Indore, Chandigarh, Jaipur, Nagpur and Vadodara, these services will be available in over 10,000 restaurants by September this year.
The venture also claims that 80 percent of top delivery brands have signed up for contactless takeaway services from Dineout, creating a new revenue channel for restaurants and an opportunity to grow and sustain during this transition.
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