[Update] Astrotalk Raises $20 Mn From Left Lane Capital To Expand International Presence

Update | February 12, 05:00 PM

Online astrology platform Astrotalk confirmed that it has raised $20 Mn in its Series A funding round from New York-based venture capital firm Left Lane Capital.

In a statement, the startup said it would use the fresh funds for strategic acquisitions to expand in international markets, solidify new business verticals, and hire senior leadership roles. Astrotalk said its headcount is expected to significantly increase in the coming days from the current 200. Besides, it’s planning an ESOP buyback to create wealth for its employees.

Astrotalk also plans to use the fund to further develop its devotion offerings, expanding to and localising its operations in South India.

Speaking on the fundraise, Puneet Gupta, founder and CEO of Astrotalk said that the company is eyeing expansion across the US, Canada, the UK and the Middle East.

“One-on-one consultations stand to be approximately 95% of our revenue with about 20% of the revenues coming from outside of India,” he said.

Original Story| February 5, 08:51 PM

Online astrology platform Astrotalk is set to raise around $20 Mn (INR 163 Cr) in its Series A funding round from the US-based venture capital firm Left Lane Capital.

As per a regulatory filing with the Registrar of Companies (RoC), the startup’s board has passed a special resolution to issue 11,211 Series A compulsorily convertible preference shares (CCPS) at an issue price of INR 1,38,601-INR 1,45,531 each to the VC firm. 

Founded in 2017 by Puneet Gupta and Anmol Jain, Astrotalk is an online astrology platform.

The startup achieved profitability in FY20 and has scaled up exponentially over the past few years.

Currently, it claims to have a pool of more than 13,000 astrologers, tarot readers, numerologists, and vastu experts on its platform. As of October 2023, it had 3 Cr customers on the platform.

In the last few years, the startup, backed by QED Innovation Labs, has also roped in several celebrities, including Shraddha Kapoor, Ranbir Kapoor, Mouni Roy, and Virender Sehwag, for promoting its services. 

In FY23, Astrotalk reported a revenue of INR 282 Cr with a profit of INR 27 Cr, which was almost 4X higher than the previous year.

Inc42 recently reported that Astrotalk expects to touch INR 600 Cr in revenue by the end of FY24, with a 16% EBITDA margin. It also projects a revenue of INR 2,000 Cr before going for an IPO in 2025-26.

Astrotalk competes with the likes of AstroGuru, AstroYogi, Astrosage, and others, in a booming spiritual and religious market in the country.

As per a report, the Indian religious and spiritual market was valued at $ 58.56 Bn in 2023 and is expected to grow at a CAGR of 10% between 2024 and 2032 to reach a size of around $150 Bn in less than a decade.

In November last year, another spiritual tech startup VAMA raised $1.5 Mn (INR 12.5 Cr) in a seed funding round led by Wavemaker Partners. The startup provides access to epujas, edarshans, and astrology services for devotees across India.