Software-as-a-service startup Capillary Technologies said Thursday it has secured $45 million (Rs 370 crore) in a Series D funding round from a host of investors including Avataar Venture Partners along with its limited partners Pantheon, 57Stars, and Unigestion.
Filter Capital and venture debt platform Innoven Capital also joined the round, Capillary said.
The startup plans to deploy the fresh capital to expand its presence across geographies along with supporting its mergers and acquisitions plans.
Founded in 2012 by Aneesh Reddy, Capillary offers loyalty management and customer engagement technology solutions. The startup counts brands like Tata, PUMA, Shell, Al-Futtaim, Petron, Domino’s, Kanmo Group, and Marks & Spencer as its clients. It has a presence across the United States, India, the Middle East, and Southeast Asia.
“With this new funding, we aim to expand our footprint in North America and Europe and pursue strategic acquisitions,” said Reddy, founder and managing director, Capillary.
The company has been previously backed by investors such as PE firm Warburg Pincus, Sequoia Capital and Filter Capital.
Avataar Venture Partners is a growth-stage and tech-focused investment firm. The Bengaluru-based firm counts startups like Amagi, RateGain, Zenoti, Algonomy, and Tech Sense, among others, as part of its portfolio. It typically invests with ticket sizes in the $10-50 million range and targets companies with annual recurring revenue (ARR) of $10 million and above and works to help them scale to an ARR of $100-150 million.
Last month, the firm led the $45 million Series D funding round of bus tracking and ticketing service provider Chalo. In March, the firm led the $22 million Series C funding round of artificial intelligence-based medical records platform HealthPlix Technologies Pvt Ltd.
In October 2022, the firm floated a new VC fund with a target corpus of about $350 million. In an interview with VCCircle, Mohan Kumar, founder and managing partner at Avataar, said that they might increase the corpus of the fund to $400 million.
