According to a report (by Orios Venture Partners) titled ‘The Indian Tech Unicorn Report 2021’ revealed that 46 unicorns (companies with $1 billion valuations) were added in the list of unicorns in 2021 alone, more than doubling the total number of unicorns to 90. These include ShareChat, Cred, Meesho, Nazara, Moglix, MPL, Grofers (now Blinkit), upGrad, Mamaearth, GlobalBees, Acko, Spinny and others. The report also reveals that Indian startups raised $42 billion in 2021, up from $11.5 billion in the previous year. India is now the third-largest unicorn hub with 90 unicorns just behind the US (487) and China (301), and ahead of the UK (39).
As per the report, Bengaluru was the city with the most unicorns. Fintech, e-commerce and SaaS (software as a service) have seen the maximum number of unicorns, while health-tech, ed-tech, D2C, Gaming and Crypto are also close behind. Flipkart was the most valuable unicorn ($37.6 billion after raising $3.6 billion in July 2021), while Mensa Brands was the fastest to turn unicorn (took only 6 months to turn unicorn in November 2021 round after raising the first $50 million round in May 2021.
India has seen four decacorns (companies with a valuation of USD 10 billion and above) so far – Flipkart, Paytm, Byju’s and Oyo Rooms. The report also underscored that 2021 was a landmark year for Indian startups going public. The report also revealed that
“A total of 11 Indian startups (including 8 unicorns) raised about $7.16 billion through public offerings…One97 Communication (Paytm) raised India’s largest-ever IPO with an issue size of Rs 18,300 crore (about $2.46 billion).” Further, Zomato has the highest market capitalisation ($14.8 billion), among the listed Indian startups, followed by Nykaa ($13.5 billion) and Freshworks ($6.9 billion).
“Despite witnessing an economic downturn in the first half, it has been an exciting and tremendously promising year for tech startups. In terms of measuring scale for the ecosystem, our report is a clear validation of the value creation that has been achieved through technology innovation, both in terms of IPO and unicorns. The report also noted that 20% of unicorn founders are non-engineers, two-thirds of the Indian unicorns have at least one or more founders from IITs, IIMs or ISB. The report also highlighted that there are 13 female unicorn founders, 8 out of which have emerged in the year 2021 – Falguni Nayar (Nykaa), Gazal Kalra (Rivigo), Ruchi Kalra (OfBusiness), Divya Gokulnath (Byju’s), Ghazal Alagh (MamaEarth) and Saritha Katikaneni (Zenoti), among others.