ShareChat reaches $5-bn valuation with latest raise

The company closed a multi-tranche funding round worth $520 million on Thursday

ShareChat (Mohalla Tech) runs short video platforms — Moj and TakaTak — besides the ShareChat app, which together cater to over 400 million users.
ShareChat (Mohalla Tech) runs short video platforms — Moj and TakaTak — besides the ShareChat app, which together cater to over 400 million users.

Mohalla Tech, which owns homegrown social media company ShareChat, on Thursday closed a multi-tranche funding round worth $520 million, making it one of the biggest deals in the consumer Internet space in the country.  

ShareChat’s valuation reached $5 billion in the current round. In the first part of the round, ShareChat had raised $266 million in December 2021 from Alkeon Capital, Temasek, HarbourVest, Moore Strategic Ventures, and India Quotient. In the final tranche of this round, post the acquisition of MX TakaTak, ShareChat added Google and Times Group as new investors while Temasek participated yet again, adding $255 million. 

ShareChat, which achieved the unicorn status last year, has collectively raised $913 million in 2021, which also makes it one of the most-funded unicorn start-ups in the country alongside other names such as Byjus, Swiggy, OYO and Ola, among others. 

ShareChat (Mohalla Tech) runs short video platforms — Moj and TakaTak — besides the ShareChat app, which together cater to over 400 million users. ShareChat has in the past year, focused on rapidly monetising its various platforms. The company has also built diversified monetisation models beyond advertising in areas like virtual gifting and video commerce. Virtual gifting witnessed mass adoption on the ShareChat app, with the business line already at a $50 million ARR, which is set to more than double by year-end.

“Over a year ago, we turned unicorn, and since then, we have been scaling and innovating at an exhilarating pace, further refining our offerings and expanding our operations. The coming year will be about capitalizing on the scale and building robust revenue models. We are committed to empowering every Indian by providing platforms to share experiences, discover new opportunities, showcase their talents and make their passion a means to a livelihood,” Ankush Sachdeva, CEO & Co-founder, ShareChat and Moj, said in a statement.

Founded in 2015 by Ankush Sachdeva, Bhanu Pratap Singh and Farid Ahsan, ShareChat has several social media brands under its portfolio. Today, ShareChat claims to have more than 180 million monthly active users spread across the country. 

Recently, ShareChat announced a strategic merger with MXTakaTak, bolstering its short video ecosystem to 300 million monthly active users and 100 million creators. Investors in ShareChat include Temasek Holdings,  Google, The Times Group, Alkeon Capital, Moore Strategic Ventures (MSV), Harbourvest, India Quotient, Mirae-Naver Asia Growth Fund, Tiger Global, Snap, Twitter, Lightspeed, SAIF Partners (now Elevation Capital) and business stalwarts like Pawan Munjal and Ajay Shridhar Shriram. 

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