AdOnMo Raises $7 Million in Series B1 Round, Valuation Hits $105 Million

• ByStartupStory     |    March 27, 2024

AdOnMo, the Hyderabad-based ad-tech firm backed by Zomato, has secured a significant funding boost with a $7 million infusion in its Series B1 round. This marks the company’s first major investment since Zomato led its Series A round last year.

The regulatory filing with the RoC reveals that AdOnMo has undertaken a special resolution to issue 36 equity and 4,156 CCPS at an issue price of Rs 1,38,850 each, resulting in a total raise of Rs 58.21 crore or $7 million.

Noteworthy contributions came from healthcare veteran Ravindranath Kancherla and his son Kancherla Pruthvinath, injecting Rs 16.6 crore, along with investments from Qatar Insurance Company and ZNL Growth (Z Nation Lab), totaling Rs 8 crore and Rs 1.80 crore respectively.

Furthermore, a diverse group of thirty-six individual investors, including Manish Kailash Chhabra, Vindhya Guduru, Vikram Malhotra, Usha Reddy Chigarapalli, and Desireddy Srinivasa Reddy, participated in AdOnMo’s Series B round.

Regarding the utilization of these funds, the company aims for business expansion and to meet its working capital requirements, as outlined in the regulatory filing.

TheKredible, a startup data intelligence platform, indicates that AdOnMo’s valuation now stands at approximately Rs 858 crore or $105 million post-money.

AdOnMo, founded in 2016 by Sandeep Bommireddi and Sravanth Gajula, specializes in providing targeted digital advertising on outdoor screens situated in residential and corporate parks across 21 cities.

In addition to this funding round, AdOnMo secured Rs 20 crore in debt from Northern Arc and Alteria Capital during the ongoing fiscal year.

The company’s fiscal year results for FY23 highlight a remarkable growth trajectory, with revenue from operations skyrocketing four-fold to Rs 75 crore. However, the company reported losses amounting to Rs 38 crore in the same period.

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