18/08/2016
Marking the 10th Indian unicorn, Hike Messenger joined the unicorn club after having raised a whooping $175 million. The Series D funding round was led by Tencent Holdings and Foxconn Technology, along with existing investors – Softbank, Bharti and Tiger Global, giving this startup an entry into the million dollar valuation club.
Hike was launched in 2012 and after receiving an investment of $7 million from Bharti SoftBank in April 2013, the app was able to gather quite a following with 15 million users by February 2014. By raising another $65 million funding led by Tiger Global, Hike invested extensively in the application and introduced free text messaging anywhere in India, chat themes, updated stickers, hidden chats and revamped user interface. The effect was so that their user base reached hit 35 million August 2014. By October 2015, they claim to have 70 million users on their platform with 20 billion messages being shared each month.
Although the numbers look real nice for Hike, they are strongly overshadowed by the numbers WhatsApp has under its umbrella. The popular messaging app, launched in 2009, has about 100 million active users in India. This means that our homegrown messaging app is being outnumbered by the California-based messaging app, which was acquired by Facebook in 2014.
To attract native customers, Hike is going local with over 10,000 stickers available in 40 languages. Also, knowing that a large chunk of people do not have access to the internet, they have also introduced services such as Hike2SMS that helps send free messages when there’s no internet connectivity, and Hike Direct that lets you share files without the internet.
Raising its fourth and biggest venture capital round, Kavin Bharti Mittal’s Hike Messenger is now valued close to $ 1.4 billion with a total investment of over $250 million so far. Enjoying the good times, Kavin said, “Tencent and Foxconn both have pedigrees that speak for themselves and such an investment, especially in today’s market, just goes to show the strong foundation on which Hike is built.”
Entering the unicorn clan, Hike is now with the biggies of Indian startup ecosystem, which includes Flipkart, Snapdeal, ShopClues, Mu Sigma Inc, InMobi Technologies, Paytm, Zomato, Ola, and lastly Quikr.
Source: Entreprenuer