Proptiger.com, an online real estate marketing services firm, has raised $5M or INR 26 Crores in its second round of funding from PE firms SAIF partners and Accel. The first round of funding was concluded by a few individual investors last year. As part of the current deal, Ravi Adusumalli from SAIF Partners and Prashanth Prakash from Accel have joined as members of PropTiger’s Board of Directors.
Speaking on the occasion, Ravi Adusumalli member of the board from SAIF said, “India is in the early stages of a long cycle in residential ownership driven by rising income levels, nuclearization of families and a 20 million shortage in housing units. We are excited to partner with PropTiger in their mission to help middle class Indian families achieve their home ownership goals.”
Headquartered in Delhi/NCR, PropTiger has a team of real estate professionals spread over 8 cities – Noida, Gurgaon, Mumbai, Pune, Bangalore, Chennai, Kolkata and Ahmedabad. The company plans to increase its headcount from 200 to 500 by mid-2013 besides ramping up its presence across the 8 cities.
Kartik Varma, co-founder of PropTiger said the new funding will be used to further strengthen the technology platform and hire more people. “The market is very fragmented with many small local players and there is a huge opportunity to build a pan India property marketing services firm. Although there are few Internet enabled real estate businesses, almost all of them are in the classified’s listing business, which is a media play, and none that provides end-to-end service to home buyers,” he said.
PropTiger was founded in the Feb of 2011 by Dhruv Agarwala, Kartik Varma and Prashan Agarwal. Dhruv Agarwala and Kartik Varma are alumini from Harvard Business School and had previously started iTrust Financial Advisors Pvt Ltd., which was eventually acquired by Karvy Private Wealth in 2011. Whereas, Prashant Agarwal an IIT Kanpur – ISB alumnus has been previously associated with the Internet industry.
Prashanth Prakash of Accel said, “The real estate industry is ripe for using technology to make the home buying process a more efficient one for buyers and sellers. We look forward to helping PropTiger innovate to provide the best services to both end-buyers and real estate developers.”
Accel Partners is a global venture and growth equity firm. Accel Partners along with Blume Ventures and Mumbai Angels invested $1.2 Mn in Hotelogix, a cloud-based hospitality solutions provider. Accel partners also invested $6Mn in Zansaar, an e-tailer of home decor products along with Tiger Global.
Other players operating in the space include IndiaHomes Services Pvt. Ltd. (formerly Agni Property Services Pvt. Ltd.), Noida based firm Clinic, Mumbai-based RCSPL, parent company of real estate group buying portal Groffr.com, Consim Info Pvt Ltd which runs Indiaproperty.com.