SUMMARY
The deal is expected to close following receipt of regulatory approval from relevant authorities
Amagi will use the funding to strengthen its support infrastructure for customers and to invest more in advertising as well as building AI-based personalisation models
The media-focused SaaS startup claims to support more than 700 content brands and over 800 playout chains on its platform across 40 countries
Media-focused SaaS startup Amagi has raised $100 Mn (INR 811 Cr) in funding from private equity (PE) firm General Atlantic, including a primary capital infusion of $80 Mn.
The unicorn was valued at $1.4 Bn for the funding round, up from $1 Bn valuation in its last funding round in March 2022, it said in a statement.
The announcement comes nearly a week after Inc42 reported that Amagi had raised funding from General Atlantic.
The deal is expected to close following receipt of regulatory approval from relevant authorities.
Amagi will use the funding to strengthen its support infrastructure for customers. It will also deploy the capital to build AI-based personalisation models and spend more on advertising. The startup will also invest more in live streaming solutions, particularly in the FAST (free ad-supported streaming TV) ecosystem.
“…we believe that General Atlantic, with their longstanding history of helping technology companies build enduring models, is the ideal investment partner for this stage of our growth journey. We are thrilled to have their backing and look forward to leveraging their expertise,” Amagi CEO and cofounder Baskar Subramanian said.
Echoing the sentiment, General Atlantic MD and head of India Shantanu Rastogi said, “Amagi has demonstrated a consistent ability to anticipate key trends, acting as an early mover in the rise of free ad-supported streaming TV. The company has also championed the use of cloud technology to optimise results for their broadcast and streaming partners globally…We look forward to partnering with the Amagi leadership team to further fast track their growth as they continue to shape the future of cloud-based broadcast.”
As per the startup’s regulatory filing, it is estimated that General Atlantic will hold an 8% stake in the Baskar Subramanian-led startup post the transaction.
Founded in 2008 by Subramanian, Srinivasan KA and Srividhya Srinivasan, Amagi offers a cloud suite for clients to create, distribute and monetise content globally. It also offers broadcast and targeted advertising solutions for broadcast and streaming TV platforms.
In March, Amagi turned unicorn after raising $95 Mn in funding from marquee investors such as Accel, Norwest Venture Partners and Avataar Ventures. Prior to that in September 2021, it secured $100 Mn in funding from Accel and investors.
Amagi claims to support more than 700 content brands and over 800 playout chains on its platform across 40 countries globally. The startup has a presence in global media hubs such as New York, London, Paris and Toronto. With broadcast operations based out of New Delhi, it also operates an innovation centre in Bengaluru.
In a bid to bolster its global presence, the SaaS platform has also expanded to newer markets such as Germany, South Korea, and Australia.
Amagi counts some of the biggest broadcasters such as Warner Bros. Discovery, NBCUniversal, A+E Networks UK, Curiosity Stream, Fox Networks, and Fremantle among its clients.
The SaaS major reported a net profit of INR 20.7 Cr in FY21, while revenue from operations doubled YoY to INR 219.3 Cr during the fiscal year.
The fundraise comes close on the back of Gurugram-based fintech SaaS platform Monsoon CreditTech securing an undisclosed amount of funding from HDFC Capital and other investors. A week ago, another SaaS unicorn Icertis raised $150 Mn funding from US-based Silicon Valley Bank. Prior to that, cybersecurity enterprisetech startup BluSapphire Cyber Systems also bagged $9.2 Mn in funding from Barings Private Equity India.
According to a report, the Indian SaaS sector is likely to turn into a $30 Bn market opportunity by 2025, capturing 9% of the global SaaS market in the same period.
