Bangalore-based Zolo, which offers managed co-living spaces to students and professionals, has raised $30 million (~ ₹208 crore) in a Series B funding round led by existing investor Nexus Venture Partners and IDFC Alternatives, along with participation from Mirae Asset, a South Korea-based independent financial services group.
The startup will use the raised capital in expanding its footprint across the metro cities.
With this fresh funding, the valuation of Zolo is estimated to ramped up by more than $100 million.
Founded in 2015, by Akhil Sikri, Isha Choudhry, Nikhil Sikri and Sneha Choudhry, Zolo is a marketplace for property solutions like paying guest accommodation, service apartments and independent flats. The startup currently operates in Bengaluru, Hyderabad, Pune, Chennai and Kota and has tied up with numerous building owners and large developers for its expansion plan.
So far, Zolo has raised a total of $35 million in funding over two rounds. Prior to this, the startup had raised $5 million from Nexus Venture Partners, in January 2017.
ZoloStays will also focus on automation and rely on IoT (Internet of Things) for smart electricity and water billing in its properties. “We also look to build a stronger community through our online and offline initiatives through gamification. Customisation is another key area where we now want to focus,” said Nikhil Sikri, Zolo’s co-founder.
ZoloStays, which competes with similar players like NestAway, Stanza Living, Stay Abode and Coho Dorms, claims to be India’s largest company offering fully managed co-living spaces with 16,000 live beds and 50,000 locked-in beds under its two offerings — Zolo Standard and Zolo Select.
The company claims that it has grown twelve fold since then and plans to clock 10 times growth in the next two years. It plans to boost its current staff strength of 350 people by hiring another 200-300 by the end of 2019.
The company’s revenue from operations stood at Rs 27 crore for FY18 while it incurred a loss of Rs 4 crore, said Sikri to Economic Times. He added that the startup plans to clock Rs 100 crore in revenue for the next financial year.
In recent funding of co-living startups, Delhi-based Placio had raised $2 million in pre-series-A funding from Prestellar Ventures, a Singapore-based private equity
In August last year, StayAbode had raised an undisclosed amount from Anupam Mittal (CEO, People Group) and Vineet Sekhsaria (Head, Real Estate investing, Morgan Stanley) and Japanese gaming company Akatsuki Inc, in August last year.
This was followed by $10 million fund raise by Delhi headquartered Stanza Living, which was led by Sequoia India.