Early stage capital for global innovation
Focused on tech startups in the US and in India
 
 
NEWSLETTER - January, 2019
 
 
Our predictions for 2019
 

In 2018, India added eight unicorns and moved to third place after the US and China in terms of number of unicorns in a country. The gap between India (18 unicorns) and UK (15 unicorns) will now continue to increase, clearly positioning India along with dominant countries USA and China as the trio that will dominate the startup ecosystem globally. Here are a few things we expect in 2019

 

 
 
 
 
 
What stood out to us in 2018

We asked everyone at SRI Capital to select one event in 2018 that they felt was significant.

The acquisition of Flipkart by Walmart marks a turning point in US investor interest in the Indian consumer growth story.

 

Sashi Reddi — Founding Partner

FDI to India exceeding China for the first time in over 20 years, marking an important milestone in global capital flows

 

Doc Parghi — Partner

Cambridge Analytica and many other data-related scandals in 2018 drove awareness of privacy issues. This was a big year for legislative action on privacy, including the implementation of GDPR in Europe.

 

Shweta Singh — Principal

Circular issued by SEBI providing operating guidelines for AIF’s to be established in International Financial Service Centres (IFSC). The long-term impact is that India focused foreign funds can be setup directly in India and don’t need to go to other jurisdictions like Mauritius / Cayman Islands / Singapore.

 

PB Lakshmikant — Finance Controller

India’s policies in 2018 and how it affected the startup ecosystem (EV, startup policy, Angel taxes etc.).

 

Jay Krishnan — Venture Partner

The big funding rounds in leading India startups (Swiggy, Oyo, etc.), Growth funding by non-VC investors — PEs and the likes of Westbridge (Designcafe, Innovaccer), Increasing corporate investments — investment by HUL/Unilever, HPCL etc. directly into startups.

 

Alok Bardiya — Venture Advisor

PayTM raising US$350m in funding from Berkshire Hathaway is a huge milestone for the Indian startup ecosystem and a validation of India being one of the most attractive investment markets globally.

 

Sunil Kaul — Venture Partner

Chinese takeover of Indian app store. 5 out of top 10 apps and 44 out of top 100 apps in Indian app store are now Chinese.

 

Adwate Kumar — Associate

Watershed events in India SaaS (Freshdesk hitting $100Mn ARR and achieving unicorn status) and Deep Tech ($140Mn Series C fund raise by Grey Orange) stories. I feel these success stories will inspire next gen cutting edge innovation in the country.

 

Shivam Rastogi — Senior Analyst

ByteDance became the first Chinese company to successfully tap into the social media need overseas making it the world’s most valued private startup (Valuation $75B). This marks the beginning of Chinese companies dominating the global startup ecosystem.

 

Harshita Sanganeria — Analyst

 
 
What we invested in 2018

SRI Capital invested in six new companies in 2018 across consumer, enterprise and deep-tech. Our portfolio - ENTERPRISE and CONSUMER

 
Financial services marketplace educating ~17,000 people per day and connecting 3,000 people to service providers in their geography
 
Healthcare loan provider offering 0% interest medical loans to consumers
 
Next generation cloud-based design and visualization platform for real-estates
 
One stop destination for all Indian sports fans
 
AI-algorithm to spot fake reviews across multiple sites that has scanned over 2bn reviews
 
Unified omni-stereo camera platform for disrupting high value machine vision and human vision markets.
 
 
 
Fundraising updates from our portfolio in 2018

Nine of our portfolio companies raised further investments from reputed institutional investors

 
Raised $ 65 mn from Denso Corporation, Temasek, GGV Capital, Wavemaker Partners, SG Innovate, Daimler, NSI-TEXE
 
Raised $ 22 mn from AXA Venture Partners, Sierra Ventures, Sigma Prime Ventures, Omidyar Technology Ventures
 
Raised $ 18 mn from Samsung NEXT, Sistema Asia Capital, Chiratae, Blume and Inventus
 
Raised $ 4.2 mn from Saama Capital, Beenext, Pravega Ventures
 
Raised $ 3.4 mn from private investors
 
Raised $ 1 mn from Musketeer Capital, Ben Franklin Technology Partners, QB1 Ventures, Rosecliff Capital, Bob Ciaruffol
 
Raised $ 1 mn across primary and secondary funding from Orios
 
Raised $ 925 k from Touchstone equities, Hyderabad Angels
 
Closed an undisclosed funding round
 
 
 
Key updates from our portfolio companies in 2018

Several of our portfolio companies announced achievement of significant milestones

 
Launched a loyalty program, to launch into 15 more cities and add 1,000 hotels. Read more
 
Glassbeam received 2018 IoT Evolution Product of the Year Award. Read more
 
Launched its services in Malaysia, and has also hired a team of nutritionists and fitness coaches to develop personalised diet and fitness plans for its South-East Asian users. Read more
 
Launched Tech + Fulfillment model in addition to Fulfillment only model, great early traction. Read more
 
Phenom People was ranked number 128 fastest growing company in North America on Deloitte’s 2018 Technology Fast 500. Read more
 
Acquired Cricket rights from BCCI (Read more) and ICC 2019 World Cup rights (Read more)
 
SoftWear's “sewbots” will be used next year in a Little Rock, Ark., factory operated by Chinese garment producer Tinyuan Garments Co. Read more
 
ThinCI teamed with Denso to create vision processors with 100X performance improvements. Read more
 
VideoKen uses AI to make videos data rich and consumable, using techniques to automatically index videos, create table-of-contents and phrase cloud. Read more
 
Yellowdig was named a 2018 "EdTech Trend to Watch" by Campus Technology. Read more
 
Launched a hybrid set top box which supports content from OTT, as well as traditional digital video broadcasting-cable (DVB-C) and internet-protocol television (IPTV) media. Read more
 
 
 
 
Email us:
contact@sricapital.com Unsubscribe