🚀 Medial Secures Investment on Shark Tank India - Fueling the Future of Professional Social Networking. 🔥
Login

News on Medial

Amazon-backed ToneTag secures $78 Mn after 7-year hiatus

EntrackrEntrackr · 5m ago
Amazon-backed ToneTag secures $78 Mn after 7-year hiatus
Medial

Amazon-backed ToneTag secures $78 Mn after 7-year hiatus Contactless payment solution provider ToneTag has raised $78 million in its Series B2 funding round. The funding is a combination of primary and secondary capital and is led by ValueQuest S.C.A.L.E. Fund and its co-investors who have committed over 50% of the fundraise. Existing investor Elevate Innovation Partners LLC are also participating in this round. This investment will enable ToneTag to revamp customers' payment experiences and accelerate its global expansion, the company said in a press release. The Bengaluru-based company has secured a new funding round after nearly seven years, making it one of the few startups to raise capital after such a long hiatus. Founded by Kumar Abhishek, ToneTag provides three product categories for businesses: voice commerce, online store solutions, and in-store solutions, tailored for retail and F&B sectors. Through its Oyeti platform, the company enables businesses to integrate voice-powered shopping, ordering, and payment experiences. For customers, its VoiceSe UPI payment service allows voice-based transactions even without an internet connection. ToneTag processes over 30 million transactions daily using its unique soundwave technology. This allows secure payments through sound, making it easy to use even without the internet. Big companies like Google and Amazon, along with major Indian banks like SBI and ICICI, trust ToneTag for their payment solutions. According to data intelligence platform TheKredible, ToneTag’s revenue from operations jumped 111.7% to Rs 47.78 crore during FY24 in contrast to Rs 22.57 crore generated in FY23. The firm also achieved profitability for the first time since its inception in 2014. Among contactless payment solution providers, ToneTag competes with Paytm, PhonePe, PineLabs, BharatPe, and MobiKwik et al.

9

Related News

Amazon-backed ToneTag turns profitable after 10 years of operations

EntrackrEntrackr · 7m ago
Amazon-backed ToneTag turns profitable after 10 years of operations
Medial

After experiencing slow growth over the past two years (FY22 and FY23), contactless payment solution provider ToneTag has made a strong comeback, doubling its revenue in the fiscal year ending March 2024. By effectively cutting expenses, the Bengaluru-based company has also achieved profitability for the first time since its inception in 2014. ToneTag’s revenue from operations jumped 111.7% to Rs 47.78 crore during FY24 in contrast to Rs 22.57 crore generated in FY23, its financial statement sourced from the Registrar of Companies shows. ToneTag offers three product categories for businesses—voice commerce, online store, and in-store solutions—that cater to retail and F&B businesses. The firm enables businesses to integrate voice-powered interactions for shopping, ordering, and payment through its Oyeti platform. For customers, its VoiceSe UPI payment service facilitates voice-based transactions that work without internet access. The company collected Rs 30.87 crore via upfront customization services in FY24 accounting for 64.6% of the total operating revenue during the year. Revenue from smart stores dwindled 53.8% to Rs 10.33 crore year-on-year (YoY) from Rs 22.36 crore. The company also generated revenue of Rs 4.14 crore from monthly fees (from businesses), Rs 1.63 crore via one-time integration fees, and Rs 81 lakh through license fees. Moving toward the expense side, employee benefits formed 49% of the total expenditure. This cost remained almost flat at Rs 13.22 crore during the last fiscal year (FY24). Finance cost ballooned over 5X to Rs 2.49 crore while telephone cum IVR charges surged 143.8% to Rs 2.17 crore during the period. Overall, the company spent Rs 26.95 crore in FY24, 9.3% less compared to FY23 (Rs 29.70 crore). Followed by an impressive growth in scale and controlled expenditure, ToneTag turned profitable and booked Rs 20.94 crore profits during FY24 against Rs 6.12 crore loss in FY23. Operating cash outflows, however, increased 73.6% to Rs 2.24 crore in FY24. ToneTag’s improved bottom line also helped it to register positive EBITDA margin and ROCE which bettered to 54.18% and 30.09%, respectively. On a unit level, the firm spent Re 0.56 to earn a rupee of operating revenue in the last fiscal year. At the end of FY24, the company reported Rs 1.6 crore in cash and bank balances. However, its current assets nearly tripled to Rs 41.94 crore, driven by a significant spike in trade receivables during the period. According to media reports, ToneTag is looking to raise $50 million in primary and secondary funding from Iron Pillar and other investors. As per TheKredible, ToneTag has raised over Rs 90 crore ($11 million) to date and was valued at nearly Rs 800 crore ($96 million) in its last round. The company, which is backed by Amazon, Reliance, and 3one4 Capital, hasn’t raised a new round for more than six and a half years. Among contactless payment solution providers, ToneTag competes with Paytm, PhonePe, PineLabs, BharatPe, and MobiKwik et al.

Traya secures Rs 75 Cr from Xponentia Capital

EntrackrEntrackr · 1y ago
Traya secures Rs 75 Cr from Xponentia Capital
Medial

Direct-to-consumer (D2C) health and wellness brand Traya has raised Rs 75 crore from Xponentia Capital. The fresh round has come for the Mumbai-based company after a hiatus of 2 years. The proceeds will be used to mark a pivotal moment toward its mission to take its clinically proven hair growth treatment to the masses. The company said in a press release. Established in 2019, Traya focuses on addressing hair loss at its core by identifying the underlying causes. It provides personalized hair solutions and guidance from a team of experienced hair coaches and physicians. The company also claims to have a user base of over 10 lakh customers. Besides its own web and mobile apps, the firm leverages third-party marketplaces such as Fl; Flipkart and Amazon for distribution. As per startup data intelligence platform TheKredible, Traya has raised a total of Rs 20.75 crore to date including its $2 million from Fireside Ventures and other backers. Last year, Xponentia announced its final closure of Xponentia Opportunities Fund – II at Rs 1,095 crore. Its notable investments include Auxilo Finserve, The Souled Store, Zype Fintech, R4Rabbit Baby Products, and Easy Home Finance among others. The significant funding came on the back of its impressive financial performance in the last fiscal year. The company’s operating scale blew 8.2X to Rs 61.67 crore in FY23 from Rs 6.98 crore in FY22. However, the firm’s losses stood at Rs 27.83 crore in the same period.

Download the medial app to read full posts, comements and news.