The leading digital payments company, PhonePe, has cancelled its collaboration with Juspay, a payment orchestration platform, stating that it intends to integrate payment solutions for its merchants directly. With this change, the fintech company, which is sponsored by Walmart, will be able to provide its merchant clients with an integrated payment flow from transaction origination to final settlement.
More than 40 million retailers are part of the Bengaluru-based company’s network. One of PhonePe’s primary functions as a payment aggregator is to offer its merchants best-in-class success rates via its solutions. According to a statement from a PhonePe representative, the company has chosen not to sell its solutions through any payment orchestration platforms since it can consistently accomplish this for merchants that are directly integrated with the business.
Opting for Direct Integrations
The spokesman also stated that the business will only use direct integrations in the future to provide its solutions to retailers. In February of this year, Juspay, an online payment aggregator (PA), was given the final approval to function as a PA. The main goal of partnerships between digital payment firms and payment orchestration platforms, including payment aggregators, is to increase transaction success rates.
These platforms assess available gateways and procedures, taking into account a number of factors that could affect a transaction’s success, including reliability, prices, and speed. At any given moment, they direct transactions via the most effective payment gateway. In essence, the platform is in charge of rerouting the transaction to a different payment gateway in the case that the primary gateway goes down, avoiding service interruptions.
Juspay Largest Payment Orchestration Platforms in India
According to a media report, Juspay, which is supported by Softbank, makes up about 15% of PhonePe’s payment gateway business. It is one of the biggest platforms for payment orchestration in the nation. As of March 31, about 88% of the company’s revenue came from its payment platform integration division. If other payment platforms decide to follow suit and break up their partnerships with payment orchestration platforms, this might have an effect.
But in February of this year, Juspay also obtained the authorisation to function as a payment aggregator. It might soon begin to compete with businesses it previously collaborated with, like PhonePe and RazorPay.
PhonePe is on the Rise
In 2023, PhonePe raised around $1 billion from investors including Tiger Global, Walmart, and General Atlantic. Together with efficient cost control, this large investment enabled PhonePe to reduce its losses in FY24 and surpass INR 5,000 crore in revenue.
According to the company’s consolidated annual report, which is available on its website, PhonePe’s operating revenue increased by 73.8% to INR 5,064 crore in the fiscal year that ended in March 2024. Payment service revenue continued to be PhonePe’s main source of income, but a $195 million funding round helped the company generate an extra INR 661 crore in interest income, mostly from investments and deposits. As a result, PhonePe’s overall revenue increased from INR 3,085 crore in FY23 to INR 5,725 crore in FY24.
Employee perks accounted for 46.45% of total expenses for tech company PhonePe, up 16.4% from INR 3,096 crore in FY23 to INR 3,603 crore in FY24. Of the INR 1,876 crore in ESOP expenses included in this number, only INR 288 crore were paid in cash; the remaining amount was paid in non-cash. Payment processing fees increased 74.8% to INR 1,166 crore in FY24, in tandem with its expansion. Moreover, overall costs increased by 31.3% to INR 7,756 crore in FY24 due to expenditures for advertising, IT, licenses, legal, and other overheads.
TBO Tek, a publicly traded B2B travel technology firm, has established a new wholly owned subsidiary in Indonesia as part of its strategy to increase its presence in the area and broaden its worldwide reach. TBO Tek in Indonesia will receive business support services from the subsidiary, including marketing and promotional operations, the company announced in an exchange filing. On November 28, TBO Tek Indonesia was established with 10,000 shares of authorised and issued capital, each worth INR 10 lakh. Nevertheless, the recently established organisation has not yet started conducting business.
TBO Tek is on Worldwide Expansion Spree
TBO Tek was established in 2006 and offers tour operators and travel brokers travelling solutions. Among other things, it provides dynamic packages, hotel and travel booking APIs, and white-label solutions. The business has been increasing its footprint in important foreign markets. To strengthen its position in the Australian tourism market, the company established a new subsidiary last month called TBO Tek Australia. To increase its presence in the area, TBO Tek first established a subsidiary on Canary Island in September.
Current Financial Details of TBO Tek
In the September quarter of the fiscal year 2024–25 (Q2 FY25), Travel Boutique Online (TBO Tek) announced a 7% increase in its consolidated net profit to INR 60.1 Cr, up from INR 56.1 Cr in the same quarter the previous year. During the reviewed quarter, the company’s operating revenue increased by 28% to INR 450.7 Cr from INR 352.3 Cr during the same period last year.
Revenue from hotels and packages increased 36.2% year over year to INR 357.1 Cr, while revenue from the airline ticketing sector remained nearly unchanged at INR 83.9 Cr. It was announced last month that TBO Tek had prevailed in its six-year tax battle against the Service Tax Department of the federal government. The case centred on TBO Tek’s methods for collecting service tax from its travel sub-agents between 2007 and 2013.
Indian Startups Taking on Global Market
In addition to the requirement to scale their operations, Indian startups are drawn to foreign expansion since it offers them the chance to improve brand awareness and pull in talent from around the world. Favourable government regulations, technological developments, easy access to finance, and a growing pool of skilled workers all contribute to this tendency.
Indian entrepreneurs are meeting the demands of global markets in addition to the problems faced by Indian consumers by utilising innovative technologies and disruptive business methods. About 570 businesses from India’s enormous 60,000-strong ecosystem entered foreign markets in 2022, up significantly from the 300 that did so in 2018, according to Global Launch Base, an international consulting firm. Singapore, the US, the UK, Canada, and Australia are some of the most popular locations for Indian entrepreneurs looking to expand internationally.
Rahul Yadav, the founder of its portfolio firm 4B Networks, and others are the targets of a first information report (FIR) filed by online classified company Info Edge, the parent company of the jobs listing portal Naukri, due to allegations of fraudulent actions related to the misappropriation of the money. According to an exchange filing made by Info Edge on November 30, “a formal complaint has been filed by the Bandra Police Station (Mumbai Police) on November 29, 2024, against Yadav, who also co-founded Housing.com, Devesh Singh, Pratik Choudhary, Sanjay Saini (and unnamed others) in connection with 4B Networks (an indirect subsidiary of the company), alleging inter alia the commission of certain fraudulent acts involving 4B Networks’ funds.” Info Edge has promised that the FIR won’t affect its commercial operations, nevertheless. In 2020, Yadav introduced 4B Networks.
Arbitration Proceedings Against 4B Networks
Since early 2021, the Sanjiv Bhikchandani-led Info Edge, which runs the Naukri.com employment portal, among other things, has invested a total of INR 288 crore in 4B Networks through its fully owned subsidiary ALLcheckdeals India in several tranches, holding a roughly 59% ownership.
After 4B Networks refused to give Info Edge the information it said it was contractually required to receive—including details and specifics of financial transactions, related party transactions, and information about operations and management—Info Edge launched a forensic examination last year. The Info Edge claimed at the time that although the startup was growing rapidly, it had chosen to write off the investment in accordance with “principles of conservatism” because of the high capital burn and the general funding climate. Info Edge complained to the Mumbai Police’s Economic Offences Wing (EOW) in October of last year about Yadav’s suspected INR 288 Cr in cheating. Yadav, Chaudhary, Singh, Yadav’s wife Karishma Khokhar, and RY Advisory LLP, the partnership firm founded by the Broker Network founder, are also identified in the EOW complaint as 4B Networks Private Limited.
Info Edge’s Financial Report
In a message to investors, Info Edge revealed that it had lost INR 532 crore overall as a result of writing off its investment in 4B Networks. Before Info Edge had to write down its whole investment, the 4B Networks was valued at INR 719 crore.
One of the oldest internet-based businesses in India, Info Edge was founded in 1995 by Bikhchandani and works in a number of industries, including education (Shiksha), real estate (99acres), marriage (Jeevansathi), and recruitment (Naukri). Its portfolio includes unlisted edtech company Adda247, insurtech upstart PB Fintech, and listed heavyweights like foodtech giant Zomato. In the September quarter of the financial year 2024-25 (Q2 FY25), the company’s net profit dropped 64.6% to INR 84.73 Cr from INR 239.74 Cr in the same quarter the previous year.
Google Cloud Security and HCLTech have announced a new partnership to provide cutting-edge AI-driven security solutions to businesses globally. Using Managed Detection and Response (MDR) capabilities, the alliance aims to improve organisations’ capacity to identify and address cyber attacks. The collaboration was announced on December 2, 2024.
Universal Managed Detection and Response
HCLTech’s Universal Managed Detection and Response (UMDR) service, which integrates Google Cloud Security’s technologies with the company’s proprietary Fusion Platform, is the foundation of this partnership. Complete security coverage is provided by this integrated solution for a number of vital infrastructure elements, including endpoints, networks, apps, identity and access management, industrial control systems, hybrid cloud environments, and operational technology.
With its comprehensive and adaptable solutions and Fusion security operations platform, which is powered by Google Cloud, HCLTech is dedicated to providing clients with exceptional security results. According to Amit Jain, Executive Vice President and Global Head of Cybersecurity at HCLTech, the company’s collaboration with Google Cloud Security enables it to combine its strong security automation skills with its vast cybersecurity knowledge, which has been accumulated over the previous 26 years.
“Organisations require strong solutions to help protect their operations as cyber threats become more complex and common,” stated Magali Bohn, Director of Partners, Google Cloud Security. Businesses can keep ahead of emerging dangers by combining HCLTech’s vast cybersecurity experience with Google Cloud’s sophisticated Security Operations suite and expertise.
Offerings of the New Collaboration
By introducing a modular operating architecture, the new service enables customers to tailor their security coverage to meet their unique requirements while still offering end-to-end protection. Because of this flexibility, organisations may modify their security posture as their needs change, which is especially crucial given how quickly the threat landscape is evolving nowadays.
AI Becoming a New Cyber Guard for Various Businesses
Many companies can’t react to cyberattacks fast enough. In numerous instances, they are simply overwhelmed by the vast volume of data points that must be monitored for intrusion. Though it’s not all bad news, these were some of the main conclusions of a recent analysis from the Capgemini Research Institute. According to the report, companies have a high level of confidence in AI’s ability to strengthen cybersecurity.
850 top IT security professionals from 10 countries and seven corporate sectors were surveyed for the report Reinventing Cybersecurity with Artificial Intelligence: the new frontier in digital security. A resounding vote of confidence in AI was revealed. More than 60% of organisations said AI was necessary to detect major dangers, and more than two-thirds of organisations admitted they would not be able to respond to them without the technology.
The growth of end-user devices, networks, and various user interfaces is one factor fuelling interest in AI, according to Capgemini. This growth has been fuelled by developments in cloud, IoT, 5G, and conversational interface technologies. The end result is that businesses must urgently increase and enhance their cybersecurity.
Swiggy Ltd., an on-demand convenience platform, announced on 2 December that it has extended its Bolt 10-minute meal delivery service to more than 400 Indian cities and towns. According to a statement from Swiggy, Bolt was first introduced in Bangalore, Chennai, Hyderabad, New Delhi, Mumbai, and Pune. Today, it operates in Jaipur, Lucknow, Ahmedabad, Indore, Coimbatore, and Kochi.
The 10-minute meal delivery service has been extended by Swiggy to Tier-2 and Tier-3 cities, including Roorkee, Guntur, Warangal, Patna, Jagtial, Solan, Nashik, and Shillong, the company said. According to the report, the states with the greatest Bolt adoption rates are Andhra Pradesh and Telangana, followed by Haryana, Tamil Nadu, Gujarat, West Bengal, Rajasthan, and Punjab.
Closely Working with Restaurant Partners for Bolt
In order to maximise order priority for Bolt orders that contain food products that require little to no preparation time, Swiggy stated that it is actively collaborating with eateries.
There is no incentive for quick delivery, and delivery partners are not made aware of the difference between Bolt and standard orders for their own safety. According to the corporation, Bolt’s current delivery radius of 2 kilometres fosters familiarity and allows for quicker delivery. Additionally, it stated that giving priority to delivery executives who are nearest to Bolt stores maximises delivery speed.
Features of Bolt
Bolt, which was created with speed in mind, specialises in foods that can be served without sacrificing quality, freshness, or taste. Swiggy further stated that it offers a selection of over 10 lakh dishes from over 40,000 restaurant partners.
Bolt is transforming the dining experience for patrons. It was simple to decide to expand Bolt given the positive feedback the company has received thus far and the increasing enthusiasm from local and national eateries. According to Rohit Kapoor, CEO of Swiggy’s Food Marketplace, the company is excited to expand this experience to even more cities and homes.
It has collaborated with local businesses like Gwalia Sweets in Ahmedabad, Karachi Bakery in Hyderabad, Shiraz in Kolkata, Irani Cafe in Pune, and KFC, McDonald’s, Burger King, Baskin Robbins, and Starbucks. Restaurants in Tier II cities, such as Baap of Rolls in Roorkee and Varalakshmi Tiffins in Guntur, report that Swiggy Bolt processes more than 10% of their orders.
The industry leader in meal delivery, Gurgaon-based Zomato, tried 10-minute food delivery in 2022 but ended the trial programme and introduced Zomato Everyday instead. In comparatively shorter amounts of time, Zomato Everyday delivers meals made by home cooks from central kitchens.
Swiggy’s this Year’s Performance
In the quarter that ended in June 2024, Swiggy recorded a gross order value (GOV) of INR 6,808 crore, up from INR 5,959 crore during the same period the previous year. During the April–June quarter, the firm had 14.03 million monthly transacting consumers.
According to a research report published on November 25 by broking firm UBS Securities, Swiggy’s GOV for food delivery grew more slowly than Zomato’s in the first quarter of fiscal 2025, but both businesses are predicted to grow at comparable rates starting in FY26.
According to data from the National Payments Corporation of India (NPCI), the volume of Unified Payments Interface (UPI) transactions decreased by 7% to 15.48 billion in November, while the value of these transactions decreased by 8% to INR 21.55 trillion. They reached an all-time high in October thanks to festive sales.
October saw the most transactions through UPI since the digital system’s launch in April 2016, with 16.58 billion totaling INR 23.5 trillion. The value was INR 20.64 trillion, and the volume was 15.04 billion in September. Due to an increase in person-to-merchant transactions (for the purchase of goods or services) over the festive season, October transactions were higher than November transactions.
This was a 38% increase in volume and a 24% increase in value compared to November 2023. The value of the transactions decreased from INR 75,801 crore in October to INR 71,840 crore in November of this year, as the number of daily transactions also decreased from 535 million in October to 516 million in November.
IMPS Transactions Declined by 13%
Transactions using the Immediate Payment Service (IMPS) decreased 13% in November to 408 million from 467 million in October. In terms of value, they fell from INR 6.29 trillion in October to INR 5.58 trillion in November, an 11% decrease.
Last month’s IMPS transactions had a 14% decrease in volume but a 4% increase in value when compared to November 2023. In comparison to last month, the number of daily transactions fell from 15 million to 14 million, and the value of daily transactions declined from INR 20,303 crore to INR 18,611 crore.
FASTag Transactions Increase by 4%
The number of FASTag transactions increased from 345 million in October to 359 million, a 4% increase. Compared to INR 6,115 crore in October, the value decreased by about 1% to INR 6,070 crore. This was 318 million and INR 5,620 million in September, respectively. Compared to the same month in 2023, the November FASTag data showed a 14% increase in value and a 12% increase in volume. There were 12 million transactions per day, up from 11.13 million.
Transactions through the Aadhaar Enabled Payment System (AePS) fell 27% to 92 million from 126 million in October. From INR 32,493 crore in October to INR 23,844 crore during the review period, the value of transactions decreased by 27%. In September, there were 100 million transactions with a total value of INR 24,143 crore. Compared to the same period last year, the volume and value of AePS transactions decreased by 16% and 20%, respectively.
India’s payments ecosystem is thinking of switching low-ticket transactions to UPI Lite, according to Dilip Asbe, managing director and CEO of the NPCI. This occurs months after the Reserve Bank of India raised the limit for UPI 123Pay transactions from INR 5,000 to INR 10,000. Similar to this, UPI Lite’s transaction limit was increased from INR 500 to INR 1,000.
The geotech business MapmyIndia revealed that Rohan Verma, its chief executive and executive director, will be leaving his position in March of next year, only weeks after the company’s second quarter results were released. As of March 31, 2025, Verma will no longer serve as the company’s CEO and full-time director. In a regulatory filing, the business stated that he will remain a non-executive director on the board. Verma is leaving his position to start a new business-to-consumer venture. The board of MapmyIndia has now authorised an INR 10 Lakh initial investment to purchase a 10% ownership in the new venture, with plans to invest an additional INR 35 Cr (more than $4 Mn) in it.
Proposal from the Board of MapmyIndia
The company also stated in the filing that the board had decided to invest INR 10,00,000 to purchase a 10% stake at face value of INR 10 per share and to invest an additional INR 35 Cr in the form of compulsory convertible debentures (CCDs) in the new company that Rohan Verma would be forming. According to his LinkedIn page, Verma has been the company’s CEO for about six years and has approximately twenty years of expertise altogether.
Notably, he has been employed by MapmyIndia since 2004 in a variety of managerial roles. In the past, he has also worked with multinational companies like McKinsey and Company and Microsoft. Rakesh Kumar Verma, the chairman and managing director, will continue to serve as MapmyIndia’s leader in the interim. The board of the Delhi NCR-based business has also authorised investments of INR 2 Cr to purchase a 19.84% stake in location intelligence platform Kaiinos Geo Spatial Technologies Private Ltd. and INR 3 Cr to purchase a 9.37% stake in automotive SaaS platform SimDaaS Autonomy Private Ltd.
Current Statups Leadership Scenario in India
This change occurs as a number of startup companies have recently undergone leadership shakeups. For example, Amit Kumar, the managing director and CEO of online classifieds platform OLX India, resigned a few weeks ago after seven years in that position, and Sidharth Malik, the global CEO of CleverTap, a startup focused on customer engagement and retention, also resigned.
In addition, Mayank Kumar, the managing director and cofounder of the edtech unicorn upGrad, left his leadership position in October to start a new business. In terms of finances, MapmyIndia’s net profit decreased by 8% to INR 30.35 Cr in the quarter that ended in September 2024 (Q2 FY25) from INR 33.09 Cr in the same period last year. In the meantime, operating revenue increased 14% from INR 91.08 Cr in Q2 FY24 to INR 103.67 Cr in the reviewed quarter.
Ayodhya (Uttar Pradesh) [India], December 2: The soft glow of a laptop screen illuminated a small room in Ayodhya, where a young software engineer was about to change the trajectory of financial technology in India. This was Anvesh Tiwari’s world – a universe where numbers, algorithms, and technological possibilities converged.
The genesis of Laraware Private Limited traces back to 2018 when Anvesh, an MTech graduate, began his journey as a freelance software developer, focusing exclusively on financial technology solutions. What started as an individual pursuit quickly turned into a comprehensive technological powerhouse that has since developed over 5,000 web applications tailored to the financial sector.
“The essence of fintech is not just about creating software,” Anvesh explains, “it’s about solving real-world financial challenges through innovative technological solutions.” This philosophy has been the cornerstone of Laraware’s approach to software development.
Laraware has established itself as one of the best fintech software companies in India, particularly notable for its wide-ranging software solutions. It has successfully collaborated with numerous businesses across India, developing customised software platforms that streamline financial operations. An important milestone came in 2023 when Laraware delivered 5,000+ software solutions specifically designed for educational institutions.
Fintech companies like Laraware are crucial in today’s digital economy, offering:
Simplified bill payment systems
Secure transaction platforms
Customised software solutions for diverse business needs
Advanced financial data management
User-friendly digital payment infrastructures
“We want to simplify complex financial processes through technology,” says Anvesh. “We believe that every business, regardless of its size, deserves access to custom technological partnerships that drive growth and efficiency.”
Laraware’s portfolio spans various sectors, with particular strength in developing comprehensive bill payment systems for companies across different industries. The company’s approach creates technological ecosystems that empower businesses to thrive in an increasingly digital world.
Louvain-la-Neuve (Belgium) [Europe], December 2: Odoo S.A., a leading provider of integrated business software, today announced a $526 million transaction led by CapitalG and Sequoia Capital, with participation from BlackRock, Mubadala Investment Company, HarbourVest Partners, AVP, and Alkeon. This secondary capital transaction reflects strong confidence in the company’s vision and impact. As part of the transaction, existing investors Summit Partners, Noshaq, and Wallonie Entreprendre are selling a portion of their shares; Summit will remain Odoo’s largest institutional shareholder.
Odoo’s goal is to reach $1,052,190,000,28 in billings by 2027
Projected billings in the next 12 months = $683M
Summit/Noshaq/Wallonie Entreprendre are selling some of their stakes in Odoo to CapitalG/Sequoia/etc
They invest in Odoo but by purchasing shares of others
This major transaction underscores Odoo’s leadership position in the SMB software ecosystem and strong, profitable financial profile. It also highlights the company’s continued momentum in reshaping the business software landscape with innovative, accessible solutions for companies worldwide.
In short :
Odoo has consistently grown at 40% per year and expects to reach €1 billion in billings by 2027.
The company has over 13 million users and adds 7,000 new clients each month.
This $526 million investment marks the latest round of third-party investment, underscoring sustained investor confidence in the company’s growth trajectory.
With this investment round, Odoo’s valuation has risen to €5 billion, reflecting the company’s rapid profitable growth and market leadership, even amid a challenging economic landscape.
Since its founding in April 2002, Odoo S.A. has been dedicated to developing and continuously enhancing a comprehensive suite of management software applications for small and mid-sized businesses. Today, with over 13 million users and currently adding more than 7,000 new clients each month, Odoo has built a strong presence in the industry. Known for its intuitive and user-friendly design, Odoo empowers companies to focus on what matters most: improving customer satisfaction, driving innovation, optimising business processes, and scaling operations efficiently.
Odoo S.A. has achieved sustained annual growth of 40% and is projected to exceed $683 million in billings within the next 12 months, with a target of reaching €1 billion in billings by 2027. The company has strengthened its global presence by establishing 15 subsidiaries and building a network of 7,500 partners worldwide. With this latest investment, Odoo S.A.’s valuation has reached €5 billion.
“Fabien and his team have built a one-of-a-kind business from their ambitious vision for a unified suite of tightly integrated business apps,” said Alex Nichols, partner at CapitalG, the independent growth firm of Alphabet Inc., Google’s parent company. “Odoo’s powerful and easy-to-use suite of apps has won over customers across more than 100 countries and virtually every industry, as well as companies with anywhere from one to thousands of employees. The team’s two decades of dedication and long-term thinking have fostered a robust community of partners, contributors, and users that will serve as their foundation for years to come. We are thrilled to partner with Fabien and the rest of Odoo’s leadership team.”
“Odoo has built an outstanding software company with a unique culture, product suite, and ecosystem,” said Andrew Reed, partner at Sequoia Capital. “Odoo is a tremendous business already, and it feels like their best days are still ahead. Odoo has the long-term potential to transform the SMB software market and deliver enormous value to customers. We’re excited to partner with Fabien and the Odoo team for the long term.“
The recent launch of Odoo 18, the most advanced iteration of the company’s software, on October 2nd strengthens the company’s market position and enhances overall performance and customer experience.
“ERPs are traditionally expensive and resource-intensive to implement, often failing to meet the actual needs and evolving requirements of SMEs. We have developed a unique value proposition that is playing a pivotal role in the market,” explains Fabien Pinckaers, founder and CEO of Odoo S.A.
This €500 million investment exemplifies the international recognition and trust that Odoo has garnered within the investment community. Following investments led by Summit Partners in 2019, 2021, and 2022, this latest round further highlights Odoo’s appeal to investors.
Faris Al Mazrui, Head of Growth at Mubadala, said, “Odoo stands out as a prime example of innovation in global software, offering scalable, adaptable solutions that empower businesses in the digital and cloud transformation journey. With Mubadala’s expertise in software investments and the UAE’s role as a fast-growing tech hub, we see Odoo as an exceptional partner for companies adapting to cloud and AI megatrends. We’re excited to support their growth worldwide”.
“Odoo continues to deliver solutions that we believe are helping to transform the business software landscape – and they are doing so with impressive traction,” added Antony Clavel, a Managing Director at Summit Partners who has served on the Odoo Board of Directors since Summit’s initial investment in 2019. “We are delighted to welcome new investors and look forward to working together to support Odoo’s exciting growth trajectory.” Following this transaction, Summit remains Odoo’s largest institutional shareholder.
Odoo does not stop here. For 2025, the unicorn is already expecting many more opportunities and expansion projects, enhancing Odoo’s capabilities for research and development and allowing accelerated innovation in its product offerings.
“We are expecting to open five new subsidiaries within the next three years across Europe, Latin America and Asia-Pacific,” said Sebastien Bruyr, Odoo S.A. Chief Commercial Officer. Odoo’s Chief Finance Officer, Alessandro Mazzocchetti, added, “I’m confident that Odoo will remain profitable in terms of EBITDA and Cash Flow as we expand our team and global reach. We will keep working hard to serve our customers and partners!”.
For Olivier Vanderijst, CEO of Wallonie Entreprendre (WE), “the visionary and strategic nature of Odoo’s management and the rigour with which it has implemented this vision have led to an incredible valuation of 5 billion euros, which has attracted the best investors in the world. This is why WE have signed this transaction while remaining a shareholder in the company to support its future growth as a local player”.
J.P. Morgan SE acted as the exclusive placement agent on this transaction.
About Odoo S.A.
Since its creation in 2002, Odoo has emerged as a leading integrated business solutions provider. With its range of integrated, scalable, and functional applications, Odoo offers a comprehensive, modular suite that meets the specific needs of every business, making it a suitable solution for organisations of all sizes and sectors, from start-ups to large corporations.
With billings of 370 million euros in 2023, estimated at 500 million euros over the next 12 months, Odoo employs nearly 5,000 people worldwide, including more than 1,200 in Belgium. In addition, the company has built over 7,500 partners, creating more than 30,000 business-related jobs in 130 countries. With 19 offices worldwide (Belgium (5), Luxembourg, Spain, Germany, Hong Kong, India, Australia, USA (2), Mexico, Kenya, Dubai, Indonesia, Brazil, and Italy), Odoo serves a global community of 13 million users. For more information, visit the Odoo website at odoo.com.
About Summit Partners
Summit Partners is a leading growth-focused investment firm. Summit invests across growth sectors of the economy and, since the firm’s founding in 1984, and has invested in more than 550 companies in technology, healthcare, and other growth industries. Notable technology and software companies financed by Summit Partners include Acturis, Avast, Darktrace, Calypso, FLEETCOR, Flow Traders, Infor, Klaviyo, Ogone, RELEX Solutions, Smartsheet and Trintech. Summit maintains offices in North America and Europe and seeks to invest in category-leading, profitable growth companies worldwide. For more information, please visit summitpartners.com or follow on LinkedIn.
About CapitalG
CapitalG, Alphabet’s independent growth fund, invests in remarkable companies transforming the fields of enterprise infrastructure, security, and data; fintech; and consumer services and marketplaces. CapitalG partners with growth-stage companies in their transition from startup to scale-up through hands-on assistance from its in-house growth experts and connections to Google’s engineering, product, marketing, sales and people operations experts worldwide. More than 35000 Googlers and Alphabet leaders have engaged with CapitalG portfolio companies, including Airbnb, CrowdStrike, Databricks, Duolingo, Freshworks, Gusto, Lyft, Stripe, UiPath, Monzo and Zscaler, among others. Learn more at capitalg.com.
About Sequoia Capital
Sequoia helps daring founders build legendary companies from idea to IPO and beyond. We aim to be the first true believers in tomorrow’s most valuable and enduring businesses. We partner with a few outliers each year and go all-in, providing them with the hands-on help required at every stage of the company-building journey. Our expertise comes from 50 years of working with legendary founders like Steve Jobs, Larry Page, Jan Koum, Jensen Huang, Brian Chesky, Jack Dorsey, Eric Yuan, Lynn Jurich, Patrick Collison, Sebastian Siemiatkowski, and Christina Cacioppo. In aggregate, Sequoia-backed companies account for more than 25% of NASDAQ’s total value. Since our inception, the vast majority of the money we invest has been on behalf of nonprofits and schools like the Ford Foundation, Mayo Clinic and MIT, which means most of the returns we generate benefit these great causes.
As early investors in startups increasingly seek exit opportunities, Piyush Gupta, the former managing director of venture capital firm Peak XV, established Kenro Capital on 28 November to focus on late-stage secondary deals. Gupta told a media house that the fund will look for acquisitions in the consumer and financial services sectors, with an emphasis on tech-led businesses. According to him, the company intends to invest $20–30 million per transaction, with the possibility of deploying bigger sums through co-investment opportunities. This occurs months after Gupta saw a need in the secondary fund industry and left Peak XV to start his own fund.
“Think of all the corporate venture investors, founders, workers, and hundreds of venture firms that invest in startups. Who do they turn to when they need to come up with an escape plan? No one is there. And we are concentrating on that chance,” he stated. Additionally, Gupta stated that Kenro is in talks to raise money, but he withheld further information.
Requirement of Secondary Fund is Essential
Due to the mature VC environment in India, where some funds are now 17–18 years old, Gupta thinks that a secondary-only fund is crucial. This creates demand for exits. He went on to say that secondary funds now have more dependable and transparent liquidity opportunities as a result of the liberalisation of the Indian IPO market. “The IPO exit flywheel is operating slowly, and capital markets have deepened significantly,” he continued.
Kenro Capital will pursue minority holdings in growth companies that have reached revenue scale, are profitable, or are close to profitability within the priority industries. Additionally, the business will favour companies that have the potential to go public two to three years following its investment.
Secondary transactions let additional investors place bets on late-stage businesses while enabling current investors to cash out all or part of their investment in a startup. More than a dozen firms, including Capillary Technologies, ixigo, Urban Company, Porter, and Pocket FM, underwent secondary transactions in the first half of this year. Similar agreements are currently being made at firms like Lenskart, Acko, and OfBusiness. It is important to remember that Gupta is not the first person to profit from this year’s trend of secondary acquisitions.
A new fund with a target corpus of INR 150 Cr (about $18 Mn) and a major concentration on secondary market transactions was unveiled by LC Nueva Investment Partners in October. 360 ONE Asset, an asset management firm, introduced the INR 4,000 Cr Special Opportunities Fund-12 earlier in May with the goal of investing in late-stage entrepreneurs. According to the company, it is the first alternative investment fund (AIF) in India that is specifically focused on the secondary market for private equity.
Kenro Capital to Focus on Growth Secondaries in India and Southeast Asia’s Venture Ecosystem
The venture ecosystems in India and Southeast Asia will be the primary focus of Kenro Capital’s investments. Norbert Fernandes, a private equity expert with experience at Temasek, IvyCap Ventures, and TR Capital, joins Gupta. Gupta will remain stationed in Singapore, while Fernandes will be located in Mumbai. The fund intends to expand its staff to “five to six investment professionals.”
Nitin Konde
