As is evident by the user base that has been expanding, it can be said that the audio series platform Pocket FM has seen rapid growth over the years. According to reports, the Android and iOS apps saw a rise in the number of downloads in 2023. The total number of downloads till now has been 33 million, out of which 13 million happened in the last three months. This was reported by the market insight platform Sensor Tower.
Owing to this significant development, the platform has piqued the interest of investors, which led to a new investment round.
Some sources have revealed to Entrackr that they are currently in talks of securing something between $80 million and $100 million in a fresh financing round. It should be noted that the deal may be subject to some changes at the last moment.
One of the sources, who wishes to remain anonymous, said, “Lightspeed growth fund is likely to co-lead the round with some other investors. The deal has been in the works for the past several months and its terms have been finalized.”
The previous supporter of Pocket FM, Lightspeed, will also be participating in the round along with Tanglin Venture and Times Internet. This funding is said to be the first equity investment for the company in 2023. This was followed by a debt raise of $16 million earlier this year by Silicon Valley Bank.
With the funds that the company will be raising in this round, they have set their sights on expanding their global presence.
About Pocket FM
Pocket FM is an audio series platform pioneering audio entertainment with over 100 million listeners worldwide. Their content includes audio shows, stories, and novels. After its expansion in the US, the company is now set to work on its global presence to establish its foothold in more countries.
In 2022, the annual revenue run rate of $25 million. The numbers for FY23 have not been reported yet. The company also had Rs 17 crore in revenue and Rs 171.6 crore loss during FY22. The competitors of Pocket FM are KuKu FM, Awaz, and Headfone among a few others.
In its Series C funding round, Kuku FM successfully secured $25 million, with co-leadership from The Fundamentum Partnership and the International Finance Corporation (IFC). The company’s operational revenue witnessed a significant increase, reaching Rs 41.2 crore during the fiscal year 2023.
Pocket FM has accumulated a total funding of $93.7 million across five rounds. Its initial funding round took place on January 4, 2019, and its most recent funding round was a Conventional Debt round on May 2, 2023, raising $16 million with participation from one investor, SVB. Pocket FM boasts 11 institutional investors, with Lightspeed India, Tencent, and Brand Capital among them. Notably, Lightspeed India stands as the largest institutional investor in the company. Additionally, Haresh Chawla and one other individual serve as Angel Investors for Pocket FM.
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