News on Medial
Related News
Ex Myntra CEO’s startup Virgio shuts down after raising $37 Mn
Entrackr · 1y ago
Medial
Fashion platform Virgio, founded by ex-Myntra CEO Amar Nagaram, has unexpectedly shut down operations just a year after its launch. Despite raising $37 million in December last year, the reasons behind the closure have not been disclosed. Virgio aimed to create a fashion ecosystem by connecting designers and manufacturers, offering a range of clothing for men and women. With over 100,000 users, the startup had received support from investors like Prosus Ventures, Alpha Wave Partner, and Accel Partners. This marks the first e-commerce company to shut down after significant funding.
Accel-backed Deep Rooted to shut operations
Entrackr · 4m ago
Medial
Farm to fork startup Deep Rooted has decided to shut down its operations, according to three people aware of the matter. Started as a B2B business, Deep Rooted used to manage 100 acres of greenhouses and supply vegetables and fruits to over 120 restaurants in Bengaluru. However, the company pivoted to B2C after covid. "Deep Rooted struggled to establish a consumer-focused model and, in early 2024, shifted back to a B2B approach on quick commerce platforms like BlinkIt and Zepto. However, it failed to achieve substantial scale there as well," said a source requesting anonymity. Deep Rooted raised over $18 million including $12.5 million Series A funding from IvyCap Ventures, Accel, Omnivore, and Mayfield in September 2022. According to startup data intelligence platform TheKredible, Accel is the largest stakeholder in the company followed by IvyCap and Omnivore. "Without a viable business model, the company was unable to secure follow-on funding and ultimately decided to shut down operations," said another source who also wished not to be named. Deep Rooted's struggles were also reflected in its financial performance in the last fiscal year. Its revenue from operations declined by more than 57% to Rs 34.37 crore in FY24 from Rs 80.97 crore in FY23. During the period, its losses increased slightly to Rs 52.21 crore from Rs 47.07 crore. This will be the second major company in this segment to struggle, following Fraazo, which shut down its operations despite raising $65 million from investors such as WestBridge Capital, Sixth Sense Ventures, Equanimity Investments, and Apar Group. Otipy, which is also backed by WestBridge Capital, along with other companies like Pluckk, Gourmet Garden, and Kisankonnect, operate in the same space.
Plagued by funding winter & bad economics, here are 15 Indian startups that shut down in 2023
Inc42 · 1y ago
Medial
In 2023, the Indian startup ecosystem witnessed a wave of shutdowns due to various factors, including unsustainable business models, the funding winter, regulatory challenges, and market conditions. Prominent startups such as Pillow and FrontRow, which raised significant funding, were among those that shut down. Other factors contributing to the shutdowns include low traction, lack of product-market fit, and the impact of government regulations. Despite the challenges, experts believe that 2024 may see the emergence of startups with stronger financial metrics. To read the full list click on the "VIEW SOURCE" button below.
Faad Network-Backed Gen AI Startup InsurStaq.ai Shuts Operations
Inc42 · 10m ago
Medial
Delhi NCR-based generative AI startup, InsurStaq.ai, has decided to shut down its operations due to significant challenges. The startup, founded in 2022, was focused on developing Gen AI infrastructure for the insurance industry. The decision to shut down comes amid the growing popularity of generative AI in India. Founder Mayan Kansal expressed gratitude to the team and mentioned the difficulties that led to the closure in a LinkedIn post. This year, several other startups, including Bluelearn, My Tirth India, and Nintee, have also ceased operations.
Crypto exchange OKX shuts ops in India citing regulatory hurdles
Entrackr · 1y ago
Medial
OKX, one of the largest crypto exchanges in terms of trading volume, is shutting down its services in India. Citing local regulatory hurdles, the Seychelles-headquartered exchange notified its users in the country to close their accounts and redeem funds before April 30. In an email notification to its users, OKX informed that customers will be able to withdraw only funds, while all the other services will be unavailable. The development comes months after the show cause notice was released by Financial Intelligence Unit India (FIU IND) to nine crypto exchanges including Binance, Kucoin, Huobi, Kraken, Gate.io, and Bittrex, among others. However, the notice did not mention OKX. Meanwhile, OKX is strengthening its services in other regions as it secured licenses in Singapore and Dubai, and launched trading with the local currency of Turkey. Despite a surge in Bitcoin prices over the past few weeks, cryptocurrencies exchanges are finding it hard to operate in the Indian market. While Binance is facing a partial ban in India, global exchanges like Coinbase, Koinex and Indian-origin companies like Pillow and Flint have already shut their operations down in the country. India’s top crypto unicorns including CoinDCX and CoinSwitch have also faced challenges in the past 12 months as they went through layoffs and cost-cutting measures. Notably, both companies saw a significant decline in their operating revenue in FY23.
Ember Sword Shuts Down After $7M Raised and $11M NFT Sales Amid Web3 Gaming Challenges; Aurory Beta Launch Planned | DeepNewz VC
deepnewz · 2m ago
Medial
Ember Sword, a crypto game, has shut down after raising $7 million and making $11 million in NFT sales. Despite its financial success, the game succumbed to challenges prevalent in Web3 gaming.
Backed by Jio platforms, ZestMoney founders launch SwiffyLabs
OutlookIndia · 1y ago
Medial
Lizzie Chapman and Ashish Anantharaman, founders of Buy Now Pay Later firm ZestMoney, have launched a new B2B fintech startup called SwiffyLabs. Backed by Jio Platforms, the company aims to build infrastructure for banks and financial institutions, focusing on introducing modern products like embedded finance and invoice financing using advancements in AI and digital public infrastructure. This launch comes after ZestMoney shut down its operations amid regulatory discrepancies and failed acquisition discussions with fintech major PhonePe. Talks for DMI Finance and Aditya Birla Finance to acquire ZestMoney are currently underway.
“Building a successful app is hard today”: failed startup founder
Inshorts · 1y ago
Medial
Indian digital health startup Nintee shut down on Tuesday. Backed by Peak XV and Cred founder Kunal Shah, Nintee aimed to change habits with cheat codes for health, wealth, and wisdom. Founder Paras Chopra exited citing competition from YouTube and Fortnite. Most funds will be returned to investors. Employees will receive severance and offers to join Wingify, Chopra's other company.
Peak XV-Backed Toplyne Shuts Operations
Inc42 · 9m ago
Medial
- Toplyne, a SaaS startup, is shutting down its operations due to inability to scale and find product-market fit. - The company's co-founder and CEO, Rishen Kapoor, announced the decision to shut down. - Toplyne plans to return capital to its investors, including Peak XV Partners and Tiger Global. - The startup, founded in 2021, offered an AI-powered platform to assist product-led companies in converting free users into paid ones.
Recreating what already exists won't get us there: Ola CEO on Koo
Inshorts · 1y ago
Medial
As Koo shut down operations, Ola CEO Bhavish Aggarwal expressed sadness over it. Taking to X (formerly Twitter), Aggarwal wrote, "Sad to see what happened with Koo. We need Indian social platforms but recreating what already exists won't get us there." Koo shut down after acquisition talks with Dailyhunt failed.
Download the medial app to read full posts, comements and news.