Breaking down SmallCase’s Series D: funding, valuation, and cap table

Entrackr · 11d

Smallcase has secured $50 million in its Series D funding round, led by Elev8 Ventures, with participation from State Street Global Advisors, Niveshaay AIF, Faering Capital, Rummytime Technologies, and others. The investment comprised a mix of primary and secondary transactions, though the company did not disclose a split between the two. Entrackr has analyzed regulatory filings to uncover insights into the primary funding breakdown, shareholding, and current valuation. The board at SmallCase has passed a special resolution to issue 3,890 Series D1 and 1,644 Series D2 compulsory convertible preferred shares at an issue price of Rs 4,44,560 each to raise Rs 247 crore or $29 million as primary capital, its regulatory filing accessed from the RoC shows. In the primary funding round, State Street Global Advisors invested Rs 81.7 crore, while Elev8 Capital, Rummytime Technologies (Gaming), and Unitary Fund contributed Rs 34.5 crore, Rs 24.5 crore, and Rs 20 crore, respectively. The remaining amount came from Akram Ventures, Faering Capital, Niveshaay Sambhav, and over 20 other investors. The company has not mentioned the secondary round details in its regulatory filings. However, media reports suggest that Peak XV, WEH Ventures, and some early investors were looking to offload their shares in this round. Notably, the conversion of Series D shares will be 1:10 as per their terms. According to Entrackr’s estimates, the company will be valued at around $285-290 million post-allotment. Smallcase has raised over $120 million to date. According to startup data platform TheKredible, Peak XV holds the largest external stake at 16.2%, followed by Fearing Capital and Blume Ventures with 9.67% and 7.67%, respectively. Notably, these shareholding percentages will change a bit following the secondary transaction disclosure. Smallcase reported a 2.2X year-on-year revenue growth, reaching Rs 67.4 crore in the fiscal year ending March 2024. The company provides a platform for brokers to facilitate transactions in exchange-traded products, generating revenue primarily through transaction fees from brokers. Moreover, its losses shrank by 74% to Rs 34 crore during the same period.