Content-sharing platform ShareChat said it raised $ 502 million in new funds from Tiger Global, Snap Inc and some existing investors such as Twitter Inc, worth more than $ 2 billion.
The funding was led by US venture capital firm Lightspeed Venture Partners and US investment firm Tiger, ShareChat said in a statement Thursday.
Tiger Global and Snap, owners of the popular Snapchat photo messaging app, are new investors in the Indian platform.
The funding reflects growing investor interest in Indian social media apps looking to exploit pent-up demand after New Delhi banned dozens of Chinese apps, including ByteDance’s TikTok, following a clash on the border between India and China last year.
Moj and other similar alternatives to the popular TikTok video app have found favor with users in India, where smartphone usage has increased rapidly.
ShareChat is now valued at just over $ 2.1 billion, he said, adding that new funds will be used to double technology initiatives and support user growth.
“With this infusion of capital, we would continue to aggressively grow our user base,” said ShareChat CEO Ankush Sachdeva.
The ShareChat app has 160 million users in India and Moj 120 million. Moj and other similar TikTok alternatives have found favor with users in India, where smartphone usage has increased rapidly.
ShareChat plans to raise more funds from investors in the coming months, a source familiar with its plans said.
The company declined to comment on future financing plans.
ShareChat’s rating makes it India’s latest ‘unicorn’, which describes tech startups valued at over $ 1 billion.
Including the latest funding, ShareChat has now raised $ 766 million in six funding rounds.