The funds will be used to expand the business in five or six cities. Source: VCCircle
Mumbai-based RCSPL, which owns real estate group buying portal GrOffr.com, is set to raise Rs 2-3 crore from angel investors. This is the start-up’s series A round of funding and the first tranche is of Rs 2 crore, sources informed Techcircle.in. It is learnt that some members of the Indian Angel Network (IAN) are likely to invest in the company and the deal is expected to close shortly.
Additionally, the funds will be used to expand the business in five or six cities. Currently, Groffr.com (which stands for ‘Group Offer’) offers deals in Hyderabad, Bangalore and Mumbai.
GrOffr.com was founded in July, 2010, by IIM-Kozhikode passouts Vikhyat Srivastava and Sandeep Reddy, who quit their jobs as analysts with Kotak Mahindra Group to start their own venture. Its focus is on real estate and lifestyle products (automobiles, BlackBerry, diamond jewellery, watches, LED televisions), as well as services such as ticketing and helicopter rides.
The company recently took over the assets of Mobstreet.in and brought on board its founder Spandan Jasmin Tolia.
IAN has 140 members and funded 23 ideas so far. It is on track to complete two more investments in start-ups this month. In February, the network invested in Jigsee Inc., which enables video streaming on mobiles. Slideshare competitor authorGEN Technologies, online return filing site Tax Spanner, InnovizeTech Software (Sapience), Druvaa and Kwench are other recent investments by the network.
Some of the large group buying sites in India include Groupon India, SnapDeal, Mydala, Koovs and Dealsandyou.
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