India Roundup: Ant-backed Paytm may scrap pre-IPO share sale, and more (Updated)

Update (October 21, 8:54 p.m. SGT): Updates news about Paytm

Ant-backed Paytm may scrap pre-IPO share sale

• Indian digital payment giant Paytm is reportedly considering scrapping its proposed US$267 million share sale ahead of its initial public offering (IPO) due to differences over valuation of the firm.
• Paytm is looking at a valuation of over US$20 billion based on initial feedback from investors. However, some advisors have suggested lowering the price. The firm was previously valued at nearly US$16 billion.
• Paytm hasn’t made a final decision on the matter yet, and may go ahead with the pre-IPO sale plan at a lower valuation.

Google-backed delivery firm to raise up to US$250 million

• Dunzo is reportedly looking to raise up to US$250 million in a new funding round, which may also see participation from telecom giant Reliance Jio.
• The round could value the Google-backed hyperlocal delivery startup at around US$800 million. Earlier this year, the company raised US$40 million in it series E round from Google, Lightbox, and Evolvence, among others. 
• Dunzo said its revenue jumped 1.6x to nearly US$6 million in the financial year ended (FYE) 2021 compared with the previous year. The company also reduced its annual losses by 43% in FYE 2021.

 Zomato CEO joins board of edtech unicorn Unacademy

• Zomato co-founder and CEO Deepinder Goyal backed Unacademy’s US$440 million funding round led by Temasek, Singapore’s state-owned investment firm, in August. 
• The announcement comes amid reports of the latter being in late-stage talks to acquire Gurgaon-based counterpart Swiflearn for between US$15 million and US$20 million.
• Apart from Unacademy, Goyal has made investments in startups like Terra.do, Geniemode, Ultrahuman, and Animall, among others. 

Fintech unicorn Cred to enter the e-wallet space

• The credit card-bill payments platform will reportedly join the wallet payment space by buying liquor delivery startup HipBar, which owns a prepaid payment instrument (PPI) license.
• The license allows companies to operate payments systems, including prepaid transit cards, vouchers, and digital wallets, among others. As of October, 37 firms in India owned PPI licenses. 
• Earlier this week, the fintech unicorn raised US$251 million in a series E round led by Tiger Global and Falcon Edge. The fresh round pushed its valuation to US$4 billion.

Identity verification company IDfy bags US$11 million

• The verification and onboarding firm raised the money in a series D round led by TransUnion and Blume Ventures.
• IDfy will use the funds to improve its products and expand operations. The startup said it has facilitated over 70 million verifications for more than 500 clients.
• Founded in 2011, IDfy provides verification services across banks and financial institutions, ecommerce firms, online marketplaces, telecoms and, gaming firms, among others. Some of its clients and partners include Amazon, Airbnb, HDFC Bank, Dream11, and VISA.

Eyewear firm ClearDekho nets US$4 million in new funding

• Arora Ventures, the family office of Oyo founder Ritesh Agarwal, led the eyewear firm’s pre-series A round. Venture Catalysts, SOSV MOX, Gemba Capital, and other investors also took part.  
• ClearDekho said it will use 40% of the fresh capital to expand its stores across the country, while 30% will be set aside for marketing and on-ground activities to acquire new customers. It will also spend 20% of the capital on improving its back-end infrastructure as well as hiring and training, among others.
• Launched in 2017, ClearDekho focuses on the low-income consumer base across Tier 2, Tier 3, and Tier 4 cities and towns in India by offering affordable eyewear.

Hospitality SaaS startup Bookingjini lands US$3.3 million in fresh funds

• Mumbai Angels Network, which focuses on early-stage venture investments, pumped US$1.2 million into the software-as-a-service (SaaS) platform to lead its pre-series A round.
• Founded in 2017, the SaaS platform aims to help hotels bring in more customers. Backed by TiE Angels, the startup is looking to close the fiscal year 2022 with an annual recurring revenue (ARR) of US$133 million. 
• The startup plans to use the fresh capital for product development and expansion into new markets.