Software-as-a-service (SaaS) startup Capillary Technologies said Tuesday it has extended its Series D funding round to $140 million (Rs 1160 crore), as it secures around $95 million from its existing set of investors led by Avataar Ventures.
The Bengaluru-based startup also said that, from the total funding raised, it has earmarked $20 million (Rs 166 crore) for Employee Stock Ownership Plan (ESOP) payouts.
"The ESOP allocation reflects our commitment to fostering a culture of ownership and accountability within our organization," said Aneesh Reddy, founder and managing director, Capillary Technologies.
In June 2023, the startup had raised $45 million (Rs 372 crore) in the first tranche of its Series D funding round from a host of investors including Avataar Venture Partners along with its limited partners Pantheon, 57Stars, Unigestion, Filter Capital and venture debt platform Innoven Capital.
The company said Tuesday it aims to use the funding for its artificial intelligence (AI) initiatives (generative loyalty) and expansion across geographies.
The startup also claims to have expanded its presence in the United States by four times in the last three years, according to its statement.
The startup was founded by IIT Kharagpur graduates Aneesh Reddy, Ajay Modani and Krishna Mehra in 2008. Modani and Mehra moved out in 2014.
It offers loyalty management and customer engagement solutions to its clients, which include brands such as Tata, PUMA, Shell, Al-Futtaim, Petron, Domino’s, Kanmo Group, and Marks & Spencer as its clients.
In terms of geographies, the startup also has a presence across India, the Middle East and Southeast Asia.
In August 2023, the company promoted its chief operating officer Anant Choubey and chief customer officer Sridhar Bollam to the role of co-founders, both of whom, notably, have been part of the startup since 2010.
Capillary had filed its primary documents for an initial public offering in December 2021. However, it hasn’t gone ahead with the plan so far.
