In the Singularity Growth Opportunity Fund-led pre-initial public offering (IPO) round, Device management startup Servify managed to fetch $65 million. Servify is a known partner to giants like Samsung and Apple and it manages the lifecycle of devices in global markets. Servify founder Sreevathsa Prabhakar broke the news on Wednesday, stating that it would have achieved the ‘unicorn’ status after this round itself, if not for a few challenging conditions set by investors. It must be noted that the six-year-old company has raised the money at a valuation which is just under USD 1 billion.
Prabhakar said that the company plans to go for Initial Public Offering (IPO) in the next 18-24 months. It is noteworthy that the current revenue run rate of Servify stands at over USD 130 million annually, and they claim to become profitable within two months.
Prabhakar believes that the biggest monetised asset has been their data on 750 million customers, as the company uses it to better understand the usage patterns, maintenance events etc to underwrite better and widen its margins.
While the startup is doing 3.4 million transactions a month, he further added that it had obligations to serve 4.8 million consumers as of end-FY22 and sees the same rising to over 10 million by end of the current fiscal. Servify deals in providing white-label warranty and after-sales support products to smartphone original equipment manufacturers (OEMs). As it acquired 247around earlier this year, it also began the appliance after-sales servicing.
Managing partner at Singularity Growth, Apurva Patel commented, “Product protection is no longer an afterthought; in fact, it is rapidly taking centre stage for both OEMs and consumers. We, therefore, see Servify steadily moving towards global leadership in this massive addressable market of over $100 billion and are confident that they will deliver a great outcome for all of us.”
