SBI Mutual Fund is investing INR 410 Cr in Mumbai-based gaming and sports media giant Nazara. In a stock exchange filing, Nazara said that its board has approved the issue of shares worth INR 410 Cr to SBI Mutual Fund, which would include 57,42,296 equity shares with a face value of INR 4 each, at a price of INR 714 per share.

The funds will be invested via three schemes of SBI Mutual Fund, namely SBI MulScap Fund, SBI Magnum Global Fund and SBI Technology Opportunities Fund.

“Making India the gaming nation of the world has been a long-pursued dream for all of us at Nazara. India’s largest domestic mutual fund investing in Nazara is an important milestone for us in this two decade long journey,” Nitish Mittersain, CEO of Nazara Technologies, said.

This comes close on the heels of the announcement of Zerodha founders Nithin Kamath and Nikhil Kamath investing INR 100 Cr in Nazara Technologies.

The company announced its plan to issue 14,00,560 equity shares with a face value of INR 4 each, priced at INR 714 per share to M/s Kamath Associates and M/s NKSquared managed by Kamath brothers.

The gaming giant had secured board approval to raise up to INR 750 Cr and increase its authorised share capital from INR 30 Cr to INR 50 Cr.

In the financial year 2022-23 (FY23), the company reported a consolidated net profit of INR 61.4 Cr, marking a significant increase, while its revenue from operations grew by 75% year-on-year (YoY) to INR 1,091 Crores during the same period.”

The gaming firm’s profit after tax (PAT) rose 31% YoY to INR 20.9 Cr in the first quarter (Q1) of the financial year 2023-24 (FY24). Nazara’s revenue from operations jumped 14% to INR 254.4 Cr during the quarter under review from INR 223.1 Cr in the year-ago quarter.

Nazara shares were trading at INR 875 at 12:00 pm on BSE.

The post SBI Mutual Fund To Invest INR 410 Cr In Gaming Giant Nazara appeared first on Inc42 Media.

Electronics contract manufacturer Foxconn is considering establishing an electric vehicle (EV) manufacturing facility in India, with Tamil Nadu as a potential location for the plant.

Young Liu, the chairman and chief executive officer (CEO) of the parent company Hon Hai Technology Group, said that Foxconn will have an EV factory in the country very soon while talking about the company’s decision to build EV factories in Ohio and Thailand, ET reported.

Foxconn has been engaged in talks with the Tamil Nadu government regarding its EV plans, the report added citing sources. However, whether the company intends to engage in contract manufacturing for other EV companies or plans to market and sell EV products under its brand remains unclear.

Young Liu said that India has the potential to become a significant manufacturing hub globally. He noted that while transitioning from China to India as a manufacturing hub will require some time, this shift is expected to happen more quickly compared to the three decades it took for China to establish itself as a manufacturing powerhouse.

Earlier, Foxconn’s Liu said that the company’s Indian arm achieved an annual turnover of $10 Bn at the end of the second quarter. He also noted that Foxconn India’s metrics, such as revenue, number of employees, and investments, have grown ‘exponentially’ since foraying into India.

“Foxconn annual revenue was $200 Bn. From the perspective of India’s potential market size and if we can fully implement our plans there, several billion dollars in investment is only the beginning,” said Liu.

Regarding its foray into EV manufacturing, Liu earlier said that the company was mainly engaged in the information and communication technology assembly business.

Due to geopolitical tensions between Beijing and Washington DC, India continues to be the contract manufacturer’s new focus.

In May this year, Foxconn commenced the construction of $500 Mn manufacturing facility in Telangana’s Kongar Kalaan. Shortly thereafter, discussions took place between the company and Tamil Nadu Chief Minister MK Stalin regarding establishing a potential unit in the state.

The post Foxconn Explores EV Manufacturing Hub In India Amidst Shifting Global Dynamics appeared first on Inc42 Media.

Fintech major Razorpay on Wednesday (September 6) launched ‘Razorpay UPI Autopay on QR’, in collaboration with the National Payments Corporation of India (NPCI), at the Global Fintech Fest 2023 for subscription-led businesses.

The new offering aims to simplify and streamline the challenges faced by subscription-based businesses by making the UPI payment process for subscription quicker.

By leveraging the widespread use of QR codes, this solution aims to help subscription-based businesses drive rapid adoption and encourage quick acceptance, Razorpay said in a statement.

With the new offering, businesses can create QR codes for their subscription services and seamlessly integrate them into their marketing strategies, spanning online ads, newspapers, billboards, websites, TV, product packaging, and delivery bags, Razorpay said.

A customer will only have to scan the QR code and make the payment.

Commenting on the new launch, Khilan Haria, SVP and head of payments product at Razorpay, said, “We embarked on a steadfast mission to provide businesses with optimal results, leveraging the synergy of India’s digital payments ecosystem and our technological expertise. Introducing ‘Razorpay UPI Autopay on QR’ innovation felt like a natural step in this direction.”

“With subscription-based businesses such as OTT platforms, and insurance providers having already established themselves in metropolitan and Tier 1 cities, Razorpay UPI Autopay on QR will play a pivotal role in their next phase of growth,” he added.

The National Payments Corporation of India (NPCI) launched UPI Autopay in 2020 to enable payments for recurring payments such as mobile bills, electricity bills, EMI payments, and OTT subscriptions.

The transition towards UPI Autopay has primarily been driven by a series of guidelines issued by the Reserve Bank of India (RBI) over the past four years. These guidelines aimed to tighten regulations for recurring payments, ensuring that such transactions do not occur without the explicit consent of users.

Earlier this year, tech major Apple introduced UPI Autopay as a new payment option for subscription-based purchases on its app store in India. Google also introduced UPI Autopay as a payment option for subscription-based purchases on Google Play in India last year.

In August, UPI transactions crossed the 1,000 Cr mark for the first time. It recorded 1,024.1 Cr transactions amounting to a total value of INR 15.18 Lakh Cr.

The post Razorpay Launches ‘UPI Autopay On QR’ For Subscription-Based Businesses appeared first on Inc42 Media.

Reliance Retail Ventures Limited (RRVL) on Wednesday said it is acquiring a majority stake in Alia Bhatt’s children’s wear brand Ed-a-Mamma.

In a statement, RRVL said it has signed a joint venture agreement with Ed-a-Mamma to acquire a 51% stake. However, it didn’t disclose the financial details of the deal.

RRVL said it aims to closely collaborate with Bhatt and leverage the management strength of its subsidiary Reliance Brands to spearhead the business.

Founded in 2020, Ed-a-Mamma manufactures and sells kids-wear and maternity-wear products. The startup operates on an omnichannel model, selling across ecommerce platforms, its website, and offline retail chains, including Lifestyle and Shoppers’ Stop.

“With sustainability as its core proposition the brand has garnered acclaim for its meticulous attention to detail, using ethically sourced materials and eco-conscious production processes. This aligns seamlessly with Reliance Brands’ vision of fostering a more responsible future for the fashion industry,” said Isha Ambani, director of Reliance Retail Ventures Limited.

The development comes at a time when Reliance Retail is taking big strides to expand its online retail presence. Recently, the company entered into an agreement with the once-banned Chinese fast fashion brand, Shein, to reintroduce it to the Indian market.

Last month, the wholly-owned subsidiary of Reliance Industries received an investment of INR 8,278 Cr from the Qatar Investment Authority at a pre-money equity valuation of INR 8.3 Lakh Cr.

RRVL’s digital and new commerce businesses, including its fashion ecommerce venture AJIO, contributed 18% to its total revenue in Q1 FY24. The retail arm’s net profit stood at INR 2,448 Cr in Q1, while operating revenue was at INR 62,159 Cr.

RRVL also entered into the beauty and personal care (BPC) space in the country with the recent launch of its brand Tira, posing significant competition to Nykaa.

RRVL has been expanding its portfolio through multiple acquisitions, including those of V Retail and Insight Cosmetics, in the recent past.

The post Reliance Retail Acquires Majority Stake In Alia Bhatt’s Ed-a-Mamma appeared first on Inc42 Media.

As OYO gears up for its anticipated IPO, the company has seen the departure of key executives. Ankit Gupta, OYO’s India CEO, and Mandar Vaidya, the head of OYO Europe, have both opted to leave the hospitality and travel tech unicorn.

“Ankit Gupta and Mandar Vaidya moved on from their roles six months ago (in March 2023). We are proud of their achievements at OYO and are thankful for their leadership,” an OYO spokesperson told Inc42.

The traveltech unicorn elevated Gupta as CEO of India from his position of CEO, Hotels and Homes -India, last year. On the other hand, Vaidya assumed the role of Europe CEO in 2021.

“Both roles were already transitioned 6 months ago to Varun Jain, as COO India, and, Gautam Swaroop, as CEO OYO Vacation Homes, respectively,” the spokesperson added.

Earlier this year, the hospitality unicorn underwent a major management reshuffle, which included assigning additional responsibilities to founder Ritesh Agarwal’s core team. As part of the rejig, OYO International CEO Gautam Swaroop took over allied businesses at OYO, including Weddingz. The company also changed the role of COO Abhinav Sinha to chief product and technology officer.

Late last year, market regulator SEBI asked OYO to refile its draft red herring prospectus (DRHP) by updating all relevant sections, such as risk factors, KPIs, and outstanding litigations, after the company submitted its financial results for the first half of FY23 by filing an addendum.

OYO first filed DRHP for IPO in September 2021, initially aiming to raise INR 8,430 Cr ($1.2 Bn). However, it later took the confidential route to pre-file its draft documents and cut the IPO size to $400 Mn – $600 Mn (INR 3,286 Cr – INR 4,929 Cr).

In an internal town hall in July, Oravel Stays Ltd, the parent entity of hospitality chain OYO, claimed that it registered an adjusted EBITDA of about INR 175 Cr in the first quarter of the financial year 2023-2024 (FY24).

“Our Q1 adjusted EBITDA of around INR 175 Cr makes it an exciting start to the year. If you annualise this outcome, it sets us up for INR 700 Cr adjusted EBITDA this financial year, though, in all likelihood, we will achieve or probably surpass our previously stated target of INR 800 Cr,” OYO founder and CEO Ritesh Agarwal told the employees.

The post OYO India CEO, Europe Head Step Down Ahead Of IPO appeared first on Inc42 Media.

Meta India head Sandhya Devanathan said that India’s recently enacted Digital Personal Data Protection (DPDP) law has established a clear framework for tech companies, striking a balance between safeguarding user interests and fostering innovation.

She emphasised that the company “welcomes constructive regulations” and will wait to see the specifics of the rule.

“What DPDP has done is, it has provided a framework for tech companies to operate in and has provided clarity. We are waiting for the rules to get written out. But I would say that this is a great step in balancing user protection with innovations … because that is what will power India techade,” she said.

The Digital Personal Data Protection (DPDP) bill, introduced last year, became law after receiving approval from both houses of the Indian Parliament — Lok Sabha and Rajya Sabha. President Droupadi Murmu subsequently gave her assent, officially enacting the legislation.

Meta views India as a key market with immense potential driven by its robust macroeconomic growth, well-developed digital infrastructure, and the widespread popularity of its apps, including Facebook, WhatsApp, and Instagram, Devanathan told news agency PTI.

India is one of Meta’s largest user bases worldwide, with 400 Mn Facebook users, and 326.6 Mn Instagram users.

Addressing concerns that Facebook is losing its appeal among teenagers and young adults in important markets, Devanathan insisted that the platform continues to be relevant and attract a diverse user base across all age groups.

Additionally, she noted a rising trend of small businesses utilising Meta’s platforms and tools to establish their online presence and connect with customers.

She also highlighted that Meta India plays a pivotal role in global innovation efforts for the company, serving as both a testing ground and a development hub for new products. She assured that this investment in India will continue.

Devanathan took over the reins as Head and Vice President of Meta India last year, succeeding Ajit Mohan who had resigned from the company in November 2022.

Devanathan spearheads the company’s India operations and looks at strengthening the strategic relationships with the country’s leading brands, creators, advertisers, and partners to drive Meta’s revenue growth in key channels in India.

In India, Meta, like many other tech and social media giants, has found itself entangled in legal disputes with the government. Presently, it is under investigation by the Competition Commission of India (CCI) regarding WhatsApp’s controversial privacy policy update in 2021.

Recently, Meta announced updates to its policy governing posting content related to sexual exploitation across its platforms following a recommendation from the Oversight Board (OB) based on a 2022 video depicting the sexual assault of a tribal woman in India.

The post Meta India Head Lauds DPDP Law For Providing Tech Cos Clear Guidelines appeared first on Inc42 Media.

RBI Deputy Governor T. Rabi Sankar has called for the creation of self-regulatory organisations (SROs) in the fintech sector. Speaking at the Global Fintech Fest 2023, Sankar stressed the need for SROs to proactively tackle key issues like market integrity, data privacy, and cybersecurity.

He pointed out that as regulatory frameworks evolve, these SROs could be instrumental in maintaining ethical practices and promoting responsible growth in fintech.

He added that a self-regulatory approach will help foster a sustainable and reputable fintech ecosystem by promoting growth while mitigating potential risks and adverse consequences.

“SROs have the potential to play a pivotal role in the fintech industry by promoting responsible practices and upholding ethical standards,” said Sankar. He believes that due to their deep understanding of the industry, fintech companies are uniquely qualified to develop and enforce rules that effectively govern the sector.

He also noted that the current regulation models may not be fully applicable to fintech companies since they are not strictly financial entities.

“Regulators and fintech firms are learning to evolve this arrangement where regulators need to know what needs to be regulated and fintech firms need to know the products it develops. The best solution for that to begin with is self-regulation,” he said.

Interestingly, in July, Sankar mentioned that the central bank is working on more regulations that will be ‘developmental’ for fintech startups. “We are working on regulations (that) would be specific to fintech entities and the fintech ecosystem,” T Rabi Sankar said at an event in Bengaluru.

Sankar’s remarks come at a time when the RBI has been actively enhancing its regulatory oversight of the fintech industry. Some of the recent initiatives include the issuance of digital lending guidelines, providing directions on the use of UPI by issuers of prepaid payment instruments (PPIs), and the release of default loss guidelines (DLG).

The post RBI Deputy Governor Bats For Enhanced Role Of SROs In Fintech appeared first on Inc42 Media.

The Open Network for Digital Commerce (ONDC) has reportedly made changes to its incentive scheme to grant greater flexibility to buyer-side apps for providing discounts to consumers.

The changes also include reducing food category subsidies by 50% and expanding merchant density in 45 non-metro districts.

The notice about the fifth version of the incentive scheme was sent to network participants (NPs) on September 4, and it will come into effect from today, Moneycontrol reported.

Among the new changes, ONDC has increased the maximum amount that buyer-side apps can claim per week to INR 40 Lakh from INR 25 Lakh. It has also removed monitoring of discounts for specific orders.

Meanwhile, it has also made changes in discounts offered for some categories. While the average incentive has been reduced to INR 50 per order for orders exceeding INR 200 in the food and beverage (F&B) category, it has been kept unchanged at INR 100 for orders of above INR 200 for grocery and beauty products category, the report said.

Incentive has also been kept unchanged for electronics orders between INR 200 and INR 1,000.

In the previous version of the scheme, there was no distinction made based on product categories for the maximum incentive per order, with a uniform rate of INR 100 being applied across all categories.

Since its launch in 2022, ONDC has been working on establishing open protocols for all aspects of digital commerce, allowing buyers and sellers to use any compatible application or platform to conduct transactions. It aims to break silos of multiple ecommerce platforms and unify them with a single, open network.

The platform has been growing from strength to strength. It counts names such as Magicpin, uEngage, Bitsila, EkSecond, Growth Falcons, Mystore, nStore, and eSamudaay among its network participants on the seller side, while those on the buyer side include Pyatm, Pincode, and Meesho.

ONDC has also been gradually expanding its presence across categories, including grocery delivery, mobility and fintech.

The post ONDC Revises Incentive Scheme To Offer Flexibility To Buyer Apps appeared first on Inc42 Media.

HRtech startup Atomicwork has raised $11 Mn in its seed funding round and officially launched its platform after emerging from stealth mode.

The funding round was led by Blume Ventures and Matrix Partners and also saw participation from Storm Ventures, Neon Fund, and prominent angel investors, the startup said in a statement.

“Employees are still far away from being considered internal customers by service teams because of arbitrary boundaries between the back office and the rest of the company. They implement too many point solutions and complex processes, leading to productivity loss and unnecessary friction. Our goal with Atomicwork is to help companies offer a great experience with good efficiency,” Vijay Rayapati, CEO and cofounder of Atomicwork, said.

Founded in September 2022 by Rayapati, Kiran Darisi and Parsuram Vijayasankar, Atomicwork leverages AI to improve employee experience while simplifying the number of tools employees interact with every day.

Atomicwork operates atop collaboration tools such as Slack and Microsoft Teams, harnessing conversational intelligence to automate support, service delivery, and operational tasks at a large scale.

Atomicwork’s AI assistant Atom learns from company processes and accumulated tribal knowledge to assist employees in handling their inquiries and requests, all without the need for human intervention, the startup said.

The funding announcement comes at a time when funding winter in India continues to distress Indian startups as funding plunged to $5.4 Bn in H1 2023 compared to $19 Bn in the corresponding period of last year, as per Inc42’s report.

Atomicwork is Rayapati’s second venture after Minjar, which was acquired by Nutanix Inc in 2018.

The post Minjar Founder’s New AI Startup Bags $11 Mn To Help Enterprises Automate Workflows appeared first on Inc42 Media.

Alternative investment firm (AIF) Anicut Capital has secured an investment of INR 50 Cr from the Small Industries Development Bank of India (SIDBI) for the Anicut Equity Fund. The investment comes through the Fund of Funds for Startups (FFS), launched under the Startup India Initiative by the Government of India.

Anicut Equity Fund launched its Grand Anicut Fund III in June 2022 with a target corpus of INR 500 Cr, with an additional INR 250 Cr green shoe option. The investment firm claims to have closed two-third of the fund and has also received a commitment of INR 75 Cr from Self Reliant India Fund (SRI).

Founded in 2016 by Ashvin Chadha and IAS Balamurugan, Anicut Capital offers debt and equity investments. It is currently managing three debt funds, one angel fund and one early growth equity fund with a cumulative AUM of INR 1600 Cr.

Anicut Capital’s portfolio includes startups like Wow! Momo, Bira, Sugar Cosmetics, Earth Rhythm, Wingreens, Blue Tokai, ShareChat, Mcaffeine, Milkymist, XYXX, Curatio Healthcare, Agnikul, and Grip Invest.

Through its third fund it has already invested in 6 startups in consumer and technology sectors. It plans to back 12-14 growth stage (Series A & B) startups across Anicut and non-Anicut portfolio in the next 18-24 months from the Fund III.

Last year, Anicut Capital secured regulatory body SEBI’s approval for INR 1,500 Cr third debt fund named Grand Anicut Fund 4 as well.

This comes at a time when VC, angel and PE investors have announced 52 funds worth nearly $4 Bn this year to support Indian startups at various stages despite the funding gloom embracing 2023 too.

According to Inc42, 38% (or 20 funds) of the total funds announced this year focus solely on early-stage startups. Aeravti Ventures, 3one4 Capital, and Arkam Ventures are among the venture capital (VC) firms that have launched funds specifically targeting early-stage startups this year.

The post Anicut Secures INR 50 Cr From SIDBI’s Fund Of Funds appeared first on Inc42 Media.

Fintech giant Paytm has reported significant growth in its offline payment services. According to the Delhi NCR-based fintech unicorn, over 87 Lakh merchants are using its payment devices as of August 2023.

The firm has added 42 Lakh new devices in the past year, with a notable increase of 5 Lakh devices in August alone.

According to the company, this spike in device subscriptions elevates Paytm’s recurring revenue and fuels higher payment transactions. Furthermore, it enlarges the company’s potential clientele for its merchant loan distribution services, which have also seen robust growth.

In the last two months, Paytm’s loan distribution vertical has also shown a staggering 137% YoY increase in disbursements, reaching INR 10,710 Cr. The number of loans extended through the Paytm platform has also surged 47% Yo, amounting to 88 Lakh loans.

“Over the past several quarters, we have talked about our plans to calibrate growth to further tighten credit quality of loans distributed on our platform. We have been able to successfully demonstrate improving credit quality for Paytm Postpaid, where the ECL has reduced to a range of 0.65% – 0.85% from a range of 0.75% – 1.00% in Q4 FY 2023,” Paytm said.

In July and August, Paytm processed a total of INR 3 Lakh Cr Gross Merchandise Value (GMV) from merchants, with a 43% year-on-year growth. It claims to have witnessed a steady rise in GMV from payment methods other than UPI, such as EMI and cards.

“Growth in payments volumes drives profitability for us, through net payments margin and / or from direct upsell potential,” Paytm said.

On Monday, fintech giant Paytm launched a new device, Card Soundbox, to enable card payments. The Card Soundbox will enable merchants to accept both mobile and card payments across Visa, Mastercard, American Express and RuPay networks with ‘tap and pay’.

Earlier in July, the company launched two new variants of its popular soundbox device – Music Soundbox and Pocket Soundbox.

Meanwhile, Paytm said yesterday that its CEO and founder Vijay Shekhar Sharma has become the significant beneficial owner (SBO) of the fintech giant after Antfin sold 10.3% of its stake to the CEO’s Resilient Asset Management B.V, taking his total shareholding to 19.42%.

Paytm reported a 44.5% year-on-year (YoY) decline in its consolidated net loss at INR 358.4 Cr in Q1 FY24.

The post Paytm Boosts In-Store Payments With 87 Lakh Devices Now In Use appeared first on Inc42 Media.

Services of platforms like Amazon, Flipkart, Swiggy, Zomato, Zepto, among others, are set for disruption in the national capital, as the Delhi Police on Monday said online delivery services, excluding medicines, will be suspended in New Delhi district during the G20 Summit.

Special Commissioner of Police (Traffic) SS Yadav said during a press conference that there have been no modifications to the traffic advisory originally issued by the police on August 25, news agency PTI reported.

“Essential services, including postal and medical services, as well as sample collections by pathology laboratories, will continue to operate throughout Delhi. However, in the New Delhi area, commercial activities will not be permitted. Online delivery services will be suspended, with the exception of medicine delivery,” he stated.

He added that valid permissions granted for essential services will be honoured.

Extensive preparations are underway in the national capital ahead of the G20 summit on September 9 and 10 in Delhi. As part of the stringent security measures, traffic diversions, restricted access to specific areas, and closures have been put in effect.

The summit is set to take place at the newly-constructed Bharat Mandapam convention centre at Pragati Maidan.

“Cloud kitchens and food deliveries, or any commercial deliveries like Amazon deliveries, will not be allowed as we have stopped commercial services in the NDMC area,” Yadav said as per another report.

Meanwhile, food delivery platforms, restaurant chains, and food services companies have appealed to the government to consider permitting food deliveries as an essential service.

In a letter addressed to the Delhi government, the National Restaurant Association of India (NRAI) has requested that food deliveries from restaurants should be allowed as was done during the COVID-19 pandemic.

“Food and groceries are essential services. These deliveries were permitted even during Covid-19 lockdowns. From a consumer convenience perspective, it will be helpful if the government would permit these services, in compliance with guidelines” Dinker Vashisht, VP, public policy at Swiggy, told Inc42.

The post G20 Summit: Ecommerce, Food Delivery Services To Be Suspended in New Delhi District appeared first on Inc42 Media.

In the ever-evolving landscape of online delivery services, one can trace the journey of early movers and the shifting preferences of consumers over the years. Ankit Nagori, the founder of Curefoods, predicts a fundamental shift in the industry’s future, one that will shape the next million customers.

This shift revolves around the emergence of a new category of consumers – those seeking daily convenience. These individuals will turn to online food delivery and not just for special occasions, according to Nagori.

“I am slowly seeing a change in the industry which indicates that the next million customers will come from that segment where people are seeking convenience, people who are ordering it daily because they don’t want to cook,” Nagori said while speaking at The D2C Summit 2023 organised by Inc42.

While this transformation holds the opportunity of a significant increase in the frequency of food orders on online platforms, the industry must focus on improving the quality of food, packaging, delivery, and overall user experience to cater to this evolving customer base, he added.

Moreover, foodtech giants such as Zomato and Swiggy are also talking about making food ordering a daily habit, Nagori said, adding that brands such as Curefood’s Eatfit are expected to play an important role in this transition.

The online food delivery revolution began with deal seekers – individuals who embraced the discounted meals delivered to their doorstep. Then, in the last five years, the online food delivery industry witnessed a significant shift towards entertainment. Consumers increasingly turned to these platforms for a variety of reasons, from enjoying a movie night to seeing gatherings at home, Nagori said. This change was more catalysed by the pandemic.

Founded in 2020 by Ankit Nagori, Curefoods claims to run more than seven food factories and 150+ multi-brand cloud kitchens to service 200+ locations in 15 cities. Besides Eatfit, the startup houses brands such as CakeZone, Nomad Pizza, Frozen Bottle, and Sharief Bhai, among others.

Earlier this year, Curefoods raised INR 300 Cr (around $37 Mn) in a funding round led by Binny Bansal’s fund Three State Ventures, which invested INR 240 Cr.

The post Why Curefoods’ Founder Believes Convenience Models Will Boost The Indian Foodtech Space appeared first on Inc42 Media.

In a bid to further strengthen its position in the soundbox market, fintech giant Paytm has launched a new device, Card Soundbox, to enable card payments.

The Card Soundbox will enable merchants to accept both mobile and card payments across Visa, Mastercard, American Express and RuPay networks with ‘tap and pay’. Merchants will also be able to accept payments through the QR code on the soundbox.

With Paytm Card Soundbox, the company solves two problems for merchants — accepting card payments along with getting instant audio alerts for all payments, the fintech giant said in a statement.

Paytm said that the launch of the new device will transform in-store payments by expanding payment acceptance for merchants by combining Soundbox with NFC or contactless debit and credit card payments with mobile payments.

Paytm Card Soundbox has a built-in ‘tap and pay’ functionality through which merchants can accept card payments up to INR 5,000. The device offers alerts in 11 languages that can be changed by the merchant through Paytm for Business app.

“Paytm has always been at the forefront of innovating for India’s small businesses, solving their payments and financial services problems. Today with Paytm Card Soundbox, we take it to the next level. We have found that merchants and consumers need card acceptance as simply as mobile payments with Paytm QR Code. The launch of Card Soundbox will go a long way in merging the two requirements of merchants – mobile payments and card payments,” Vijay Shekhar Sharma, founder and CEO of Paytm, said.

The number of subscribers for Paytm’s Soundbox and other PoS devices stood at 7.9 Mn, according to its performance update for Q1 FY24, making it one of the largest soundbox companies in the country. While the listed fintech giant was one of the earliest to launch such a device, it is now facing competition from the likes of PhonePe, Google Pay and other payments startups.

Earlier in July, the company launched two new variants of its popular soundbox device – Music Soundbox and Pocket Soundbox. The Music Soundbox enables merchants to play music via Bluetooth while waiting for payments. On the other hand, the Pocket Soundbox is a smaller, slimmer iteration of the original soundbox, which comes with a lanyard to receive payments on the go.

Meanwhile, Paytm said yesterday that Sharma has become the significant beneficial owner (SBO) of the fintech giant after Antfin sold 10.3% of its stake to the CEO’s Resilient Asset Management B.V.

Paytm reported a 44.5% year-on-year (YoY) decline in its consolidated net loss at INR 358.4 Cr in Q1 FY24.

The post Paytm Launches New Soundbox To Enable Card As Well As QR Code Payments appeared first on Inc42 Media.

Think tank Broadband India Forum (BIF) has opposed the Telecom Regulatory Authority of India’s (TRAI’s) proposal to regulate over-the-top (OTT) communication apps, saying they are adequately regulated under the existing IT Act, 2000, and other associated acts and rules.

In its response to TRAI’s consultation paper on regulating OTT communication apps and selective banning of OTT services, the BIF said the current regulatory landscape has fostered a healthy growth of app economy in India.

Any attempt to introduce new regulatory frameworks could disrupt the existing competitive landscape and compromise consumer benefits and innovation, it warned.

The BIF is of the view that the existing laws, including the IT Act and the Consumer Protection Act of 2019, sufficiently address the regulatory, economic, security, privacy, safety, and consumer grievance aspects of OTT services.

Furthermore, government agencies possess the necessary powers under Section 69, 69A, and 69B of the IT Act for lawful interception, eliminating the need for additional regulatory burdens, the BIF said in its comments.

It has also opposed selective banning of OTT services as it is of the view that such measures would not pass the scrutiny of fundamental rights.

“OTTs have significantly enhanced accessibility to digital tools and amenities, enriching lives and empowering individuals by boosting productivity and socio-economic standing. This has resulted in massive economic spill-over effects, contributing to the nation’s prosperity. We hope that the regulator and the government will allow market forces to operate freely, incentivising growth and progress in this vital sector. TSPs can compete freely, and OTTs should not face restrictions in favour of TSPs,” BIF president T V Ramachandran said.

Telecom regulator TRAI released a consultation paper on regulating OTT communication apps in the country in July. The paper broadly covers two aspects – identification of a regulatory mechanism to cover OTT communication apps and the examination of issues related to selective banning of such apps.

The major takeaways of the paper include exploration of themes such as the need for selective banning of OTT communication apps, such as Meta-owned WhatsApp, Telegram and Google Meet, as well as lawful interception of messages by authorities.

The paper has raised questions like if there is a need for a collaborative framework between OTT communication apps and licenced telecommunication service providers, as well as sought clarity on the potential challenges that can arise out of such a framework and its impact on net neutrality, consumer access and consumer choice.

Recently, industry body Internet and Mobile Association of India (IAMAI), in response to the consultation paper, said that any framework that ‘leads’ to revenue sharing between OTT platforms and telecom operators would be violative of net neutrality norms.

The government began consultations on the process of regulating OTT communication apps last year. Later, it also released a draft Telecommunication Bill, 2022 to replace the Indian Telegraph Act, 1885, the Indian Wireless Telegraphy Act, 1933, and the Telegraph Wires Act, 1950.

The post New Frameworks To Regulate OTT Communication Apps Will Compromise Innovation: BIF appeared first on Inc42 Media.

Gaming and sports media platform Nazara Technologies’ board has approved the issue of shares worth INR 100 Cr to firms managed by Zerodha founders Nithin Kamath and Nikhil Kamath, the company said in an exchange filing on Monday.

The company plans to issue 14,00,560 equity shares with a face value of INR 4 each, priced at INR 714 per share. The issuance will amount to INR 100 Cr, and shares will be proportionately allotted to M/s Kamath Associates and M/s NKSquared, a partnership firm represented by its partners Nikhil and Nithin Kamath.

“Nazara Technologies Limited, an India-based, diversified gaming and sports media platform today announced that its board has approved preferential allotment of equity shares to raise up to INR 100 Cr, subject to the receipt of approval of the shareholders of the company and such regulatory/statutory authorities as may be applicable,” the company said.

Nazara intends to use the capital to fulfill the funding needs and support the company’s growth initiatives, which may include strategic acquisitions and investments.

“Nikhil Kamath symbolises success in India’s tech arena, and this fundraise holds immense value for us at Nazara as we continue to build a diversified gaming platform in India. Beyond the funds raised, his investment stands as a resounding vote of confidence in Nazara,” Nitish Mittersain, CEO of Nazara Technologies, said.

Nikhil Kamath, partner of Kamath Associates and NKSquared, said, “Gaming in India is poised for strong growth in the years to come and Nazara has built a well-diversified, profitable gaming platform well suited to take advantage of opportunities in the years ahead.”

Last week, reports surfaced that Nikhil Kamath, the founder of Zerodha, was considering increasing his stake in Nazara Technologies to 3.5%. Kamath was in discussions to increase his personal investment in the company.

On August 30, the company announced that it would seek board approval to raise capital via the issuance of equity shares or securities on a preferential basis. In July, the gaming giant also secured the board’s approval to raise up to INR 750 Cr and increase authorised share capital to INR 50 Cr from INR 30 Cr.

Earlier in August, Nazara pumped $500K into an Israeli game developer, Snax Games, to acquire the exclusive rights to publish the latter’s games in the Indian subcontinent and the Middle East on a revenue-sharing basis for the next five years. In May, the company said that it would increase its stake in Next Wave Multimedia to nearly 72%

The company’s consolidated net profit jumped to INR 61.4 Cr in the financial year 2022-23 (FY23), while revenue from operations soared 75% year-on-year (YoY) to INR 1,091 Cr during the period under review.

The post Zerodha Founders To Invest INR 100 Cr In Nazara appeared first on Inc42 Media.

Speaking at the fourth edition of Inc42’s The D2C Summit, Ankit Nagori, the founder of Curefoods, said that it is on the back of membership and subscription programmes that their flagship brand Eatfit has a 70% customer retention rate.

“70% of people who subscribe to Eatfit never leave the platform. Either they will continue as subscribers or they move back into the membership programme,” Nagori said.

Nagori explained that while their brand has focussed on subscription services, they have also introduced a membership programme called Food Pass. This decision was based on the understanding that customers may not consume their products 30 times a month.

Subscribers typically consume their products a certain number of times each month, with the platform’s average being seven times a month. To retain customers who fall within the range of seven to 30 times a month to stay engaged, they have introduced the Food Pass programme.

Nagori advocated for adopting membership programmes for D2C brands with high-frequency products. These programmes offer customers a broader engagement experience with added perks such as free shipping and exclusive benefits. For brands like Curefit, where high-frequency consumption exists, membership programmes became the foundation of customer engagement, he added.

On the other hand, subscription programmes, he said, cater to specific use cases or habits. These programmes, though targeting a smaller customer base, tend to foster deep customer engagement and loyalty.

Founded in 2020 by Ankit Nagori, Curefoods claims to run more than seven food factories and 150+ multi-brand cloud kitchens to service 200+ locations in 15 cities. Besides Eatfit, the startup houses brands such as CakeZone, Nomad Pizza, Frozen Bottle, and Sharief Bhai, among others.

Earlier this year, Curefoods raised INR 300 Cr (around $37 Mn) in a funding round led by Binny Bansal’s fund Three State Ventures, which invested INR 240 Cr during the fundraise.

In July, Curefoods made a strategic investment in Hyderabad-based millet startup, Millet Express.

Curefoods recorded INR 89.1 Cr in revenue from operations during the fiscal year ending March 2022, which was the first full operational year for Curefoods.

The post Our Flagship Brand Eatfit Enjoys A Customer Loyalty Rate Of 70%: Curefoods’ Ankit Nagori appeared first on Inc42 Media.

At a time when an increasing number of Indian startups are trying to be in the black, the cofounder of Country Delight, Chakradhar Gade, has said that the dairytech startup is also not far from reaching the profitability milestone.

“We are currently an almost $200 Mn revenue company, and the business is growing at 5-7% month-on-month. We are on the clear path to profitability in the next 8-10 months,” Gade said while speaking at the fourth edition of Inc42’s D2C summit.

Country Delight currently serves 15 cities in India. As shared by Gade, the startup makes almost 10 Mn monthly deliveries to more than 5 Lakh subscribers across the cities it operates in.

During the session, Gade talked about his fascination with the traditional Indian milkman system. The initial hypothesis of Gade and his partner, Nitin Kaushal, centred around the concept of a full-stack business model, where they aimed to own the entire supply chain, from the farm to the customer.

One of the intriguing aspects of their approach was viewing cattle as a non-depreciating asset, as they only multiply over time. This perspective meant they could potentially grow the business without external capital infusion.

According to Gade, the core mission of the startup is to provide superior quality products to customers, cultivate customer loyalty, and add value to people’s lives.

Country Delight began its journey as a bootstrapped venture and dedicated the first 5 to 6 years to laying the foundation. The cofounders focussed on critical elements such as building technology to digitally monitor quality at the source, establishing a reliable supply chain with real-time visibility, and creating a proprietary distribution network capable of scalable operations.

Founded in 2013 by Chakradhar Gade and Nitin Kaushal, Country Delight follows a subscription-based model where it sources milk from farmers and delivers it to customers. It also supplies bread, ghee, other dairy products, and fruits and vegetables.

Since its inception, the startup has raised more than $158 Mn and is currently valued at over $600 Mn. It counts Orios Venture Partners, Elevation Capital, and Temasek among its investors.

Country Delight’s net loss increased 6.5X to INR 186.4 Cr in the financial year 2021-22 (FY22) from INR 28.2 Cr in the previous fiscal year due to a sharp increase in its expenses. The Delhi NCR-based startup’s revenue from operations rose 1.6X to INR 542.6 Cr in FY22 from INR 320.7 Cr in FY21.

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Emphasising the substantial opportunities in both brand creation and platform-focused business, Adwaita Nayar, the cofounder of Nykaa and CEO of Nykaa Fashion, said that it is a really good time to build brands in the beauty and fashion space.

“We are really bullish on the kind of consumption and the kind of growth that these businesses and verticals are going to see,” Nayar said while speaking at Inc42’s fourth edition of the D2C summit.

Discussing the potential and opportunities within the Indian market, specifically in the context of D2C brands and identifying gaps in the brand ecosystem, Nayar added that there is a significant opportunity in India due to a lack of options in various product categories such as women’s fashion.

Nykaa itself is building private label brands across its fashion and beauty categories, which the company is very bullish about, Nayar added.

“We don’t actually like to call them private labels internally, we call them owned brands because private labels typically have the connotation of being cheaper and sort of undercutting on price. We are trying to identify gaps in the ecosystem. And then we’re trying to create beautiful brands in those spaces. We have entirely different teams that work on this very high focus on creativity, design quality, coming up with the positioning and coming up with the gaps,” she said.

Nykaa currently has 20 ‘owned brands’ across fashion and beauty segments. The beauty and fashion ecommerce giant sells owned brands not only on its own platforms but also on other platforms and offline channels, with some brands performing well outside their primary platforms.

In addition, Nayar said she sees a significant opportunity in the realm of teen-focussed fashion. She frequently discusses this potential with her team and believes that while Nykaa may cater to some teenagers, there remains a substantial opportunity for someone to establish a dedicated platform and a collection of brands tailored specifically for teens.

Nykaa’s net profit jumped 8.2% year-on-year (YoY) to INR 5.4 Cr in the first quarter of FY24. The Falguni Nayar-led startup’s operating revenue jumped to INR 1,421.8 Cr in Q1 FY24 from INR 1,148.4 Cr in the corresponding quarter of last fiscal.

Beauty and personal care (BPC) vertical’s GMV grew 24% YoY to INR 1,850.8 Cr in the quarter under review. It also rose 13.6% on a QoQ basis. The GMV of Nykaa’s fashion vertical rose 12% YoY to INR 653.7 Cr in Q1 FY24. However, on a QoQ basis, it declined from INR 664.1 Cr.

The post These Are Great Times To Build Brands In The Beauty & Fashion Space: Nykaa’s Adwaita Nayar appeared first on Inc42 Media.

Zomato has become the latest startup to hop on the artificial intelligence (AI) bus with the launch of Zomato AI to offer convenience and personalistation to customers.

Zomato AI is essentially a chatbot or an assistant which would help customers suggest food dishes and restaurants. Zomato will roll out the feature gradually, exclusively for Zomato Gold users.

“Transcending the boundaries of conventional chatbots, Zomato AI is an intelligent, intuitive foodie companion, designed to cater to users’ ever-changing preferences, dietary needs, and even their current moods,” the company said in a statement.

Zomato AI’s multiple agent framework brings a variety of prompts for different tasks. For example, Zomato AI will present customers with a widget, listing all the restaurants serving a desired dish.

In addition, Zomato AI can also suggest a list of popular dishes or restaurants if a customer is unsure about what to order, the statement said.

Zomato AI will allow customers to send multiple messages and will respond back in almost real-time.

“Proficient in handling complex queries, Zomato AI is designed to be users’ ultimate foodie friend… Zomato AI is a groundbreaking innovation that will allow customers to discover the right food at the right time and has the potential to redefine food ordering experiences,” the company added.

With the rise in popularity of AI after the launch of Open AI’s ChatGPT, a number of Indian startups have adopted AI to enhance their offerings. Zomato’s rival Swiggy and online travel aggregator ixigo are among these startups.

Zomato also launched a generative AI-based product for its quick commerce platform Blinkit.

Meanwhile, Zomato has been on a spree of new launches to expand the features available to its users. In June, it launched a multi-restaurant cart feature which allows users to make multiple carts at the same time. Earlier, users could add items from only one restaurant at a time.

It also introduced ‘Zomato Food Trends’ to help restaurant partners make data-driven decisions.

Amid all this, the startup also reported its first profitable quarter in April-June. Zomato posted a consolidated profit after tax (PAT) of INR 2 Cr in Q1 FY24 as against a net loss of INR 186 Cr in the corresponding quarter of the previous fiscal year.

The gross order value (GOV) of Zomato’s food delivery business stood at INR 7,318 Cr in Q1 FY24 as against INR 6,425 Cr in the corresponding quarter of the last fiscal.

The post Zomato Introduces AI-Powered Assistant To Help Customers Place Orders appeared first on Inc42 Media.

Even a decade after its inception, lifestyle D2C brand The Souled Store still earns 90% of its revenues from the D2C channel, the cofounder and director, Vedang Patel, said at the fourth edition of Inc42’s D2C Summit.

“About 90% of our revenues come from D2C channel, and about 10% comes from marketplaces, even at today’s scale,” Patel said, adding that the brand has built its customer base and enjoys a high retention rate.

“I think if your product is aspirational, then marketplaces become a little bit different as you don’t want people to say that they have shopped on marketplaces like Amazon but you want them to say that they have bought this on The Souled Store,” Patel added.

After establishing its brand presence through D2C, the startup is now building its presence on marketplaces, which is the next opportunity for growth. 

According to Patel, brands should offer products at homogeneous prices on marketplaces as well as from a long-term perspective.

Founded in 2013 by Patel, Rohin Samtaney, Aditya Sharma and Harsh Lal, The Souled Store started as a branded merchandise apparel brand and later morphed into its current D2C casual wear brand form. It also sells other products such as backpacks, sneakers, shoes and socks to customers ranging from kids to late adults. 

Earlier this year, The Souled Store raised INR 135 Cr in a strategic funding round led by Xponentia Capital. The round also saw participation from its current investors Elevation Capital and RPSG Capital.

Despite nearly doubling its operating revenue, the startup recorded a net loss of INR 26.72 Cr in FY22, marking a sharp year-over-year decline from a net profit of INR 51.27 Lakh. This occurred at a negative EBITDA margin of 10%, Patel revealed in a recent conversation with Inc42.

Patel also stated that the startup has achieved an annual revenue run rate (ARR) of INR 400 Cr in Gross Merchandise Value (GMV) for the current fiscal year. He anticipates a positive EBITDA margin of 2% for FY23 and is targeting a 15% EBITDA margin by FY24. The startup boasts 5 Mn registered app users and has set a goal to surpass INR 1,000 Cr in GMV within the next three years.

As per Inc42 data, omnichannel and D2C startups raised $1.7 Bn in funding in 2022 and emerged as the most funded sub-sector within the larger ecommerce arena. 

The homegrown D2C sector’s total addressable market opportunity is expected to surge to the $300 Bn mark by 2030.

The post 10 Years On, The Souled Store Still Earns 90% Revenue Via D2C: Cofounder Vedang Patel appeared first on Inc42 Media.

The All India Gaming Regulator (AIGR) Foundation is currently in the process of forming a self-regulatory body (SRB) under the online gaming rules that were officially notified in April this year.

The organisation is in the process of applying with the Ministry of Electronics and Information Technology (MeitY), ET reported. The ministry is presently taking time to review the applications and assess factors such as the composition of the board members, among other things.

Taking the first step towards forming an SRB, AIGR has now registered itself as a legal entity under section 8 of the Companies Act.

Interestingly, former Indian cricketer Virender Sehwag is one of the directors of the AIGR Foundation. As Sehwag is free from any conflict of interest, he is eligible to become the director.

“He has a lot of credibility on and off the field. The government has laid down clear guidelines about qualified people from different facets of life as part of the Board, and that is what AIGR is working towards. It is still very early days,” a source said as quoted in the report.

In July, Inc42 reported that four industry bodies of the online gaming sector filed three different applications for the formation of SRBs, and MeitY would take at least three months to finalise the SRBs.

Under the online gaming rules, all online games would be determined as permissible or not by SRBs. The industry can have one or multiple SRBs, as per the rules. Gaming companies would have to be registered under one of the SRBs to offer products/services in India.

As many as 120 startups, which are primarily the members of the All India Gaming Federation (AIGF), Egaming Federation (EGF), and Federation of Indian Fantasy Sports (FIFS) worked together to come up with proposals for SRBs. The applications were filed under two different collectives.

While around 100 startups associated with the AIGF worked on one SRB application, 20 startups, who are members of EGF and FIFS, collaborated for another application.

Esports Players Welfare Association (EPWA) was another industry body to file an application with the MeitY to constitute an SRB.

The post Now, AIGR Foundation Initiates Process To Form A Gaming Self-Regulatory Body appeared first on Inc42 Media.

Nikhil Kamath, the founder of Zerodha, is reportedly considering increasing his stake in Nazara Technologies, a mobile gaming company and sports media platform, to 3.5%.

Currently holding approximately 1% of Nazara, Kamath is in discussions to increase his personal investment in the company, CNBC TV18 reported.

Nazara Technologies, which is scheduled to hold a board meeting on September 4, has discussed its plans to secure additional funds. On August 30, the company announced that it would seek board approval to raise capital via the issuance of equity shares or securities on a preferential basis.

“Pursuant to Regulation 29 of the Listing Regulations, we wish to inform you that a meeting of the Board of Directors of Nazara Technologies Limited (the “Company”) is scheduled to be held on Monday, September 04, 2023, inter-alia, to consider and if thought fit, approve raising of funds by issuance of equity shares/ securities of the Company on a preferential basis,” the company said in an exchange filing.

In July, the gaming giant also secured the board’s approval to raise up to INR 750 Cr and increase authorised share capital to INR 50 Cr from INR 30 Cr. However, since then, there have been no reports confirming the shareholder approval of the same.

Earlier in August, Nazara pumped $500K into an Israeli game developer, Snax Games, to acquire the exclusive rights to publish the latter’s games in the Indian subcontinent and the Middle East on a revenue-sharing basis for the next five years. In May, the company said that it would increase its stake in Next Wave Multimedia to nearly 72%

The company’s consolidated net profit jumped to INR 61.4 Cr in the financial year 2022-23 (FY23) while revenue from operations soared 75% year-on-year (YoY) to INR 1,091 Cr during the period under review.

The post Zerodha’s Nikhil Kamath Explores Increasing Stake In Nazara appeared first on Inc42 Media.

In a big boost to the government’s Make-In-India initiative, the Centre has received 38 applications, including 25 from domestic companies, for the PLI Scheme 2.0 for IT hardware.

According to various reports, global PC manufacturers such as Dell, Hewlett Packard, Foxconn (through a subsidiary), Asus, Acer, and Flex submitted their applications ahead of the Wednesday deadline.

Notably, Apple and Samsung are currently not part of the scheme, while the application window for the scheme closed on Wednesday night.

Among the local applicants, Dixon Technologies (India), VVDN Technologies, Optiemus Infracom, and Sahasra Electronic Solutions are some of the prominent names.

The Union Minister for Communications and IT, Ashwini Vaishnaw, stated that the scheme’s objective is to generate incremental production worth INR 3.35 Tn over the next six years.

This development comes days after the government imposed restrictions on the import of laptops and tablets.

Earlier, the Centre imposed registration mandates for importing laptops, tablets, and personal computers into the country. Companies with valid licences will be able to import such products beginning November 1.

Citing the rationale behind the move, the Minister of State (MoS) for Electronics and Information Technology Rajeev Chandrasekhar had said that the mandates were aimed at reducing import dependence and spurring domestic manufacturing of laptops and personal computers.

He also noted that the decision to restrict imports was driven by security concerns to ensure that only trusted hardware enter the country.

The Indian market for laptops and PCs is dominated by major foreign players such as Dell, Acer, Samsung, Panasonic, Apple, Lenovo and HP.

The India traditional PC market, inclusive of desktops, notebooks, and workstations, grew by 0.3% year-over-year (YoY) in 2022 to 14.9 Mn units despite a steep YoY decline of 28.5% in Q4 2022 (Oct to Dec), according to a report by International Data Corporation.

Earlier this year, India announced a $2 Bn production-linked incentive (PLI) scheme to promote domestic manufacturing of laptops, PCs, servers and related-edge computing kits. It also covers personal computers and servers.

The post HP, Dell, Lenovo Among 38 Firms To Have Applied For PLI 2.0 To Make Laptops In India appeared first on Inc42 Media.