Zomato Valuation: Indian Food Delivery Startup Eyes $8.6B

Daily Crunch: July 8, 2021

A daily summary of TechCrunch’s most significant and impactful stories is delivered to inboxes each day at 3 p.m. PDT. You can subscribe to this service here.

Greetings, and welcome to Daily Crunch for July 8, 2021. The current trend isn't simply a Hot Summer; it’s a Hot IPO Summer within the technology sector. Today’s reports highlight the attractiveness of the worldwide exit market.

TechCrunch Top 3

Prior to delving into the TechCrunch Top 3, we’re pleased to announce the release of our latest in-depth company analysis, known as an EC-1. This time, our focus was on NS1.

We describe NS1 as developing “a strategic node at the core of the modern web delivery tech stack.” The entire series is exceptionally insightful.

— Alex

TechCrunch's Leading 3 Updates

The period of Initial Public Offerings (IPOs) is demonstrably underway. Today's most significant news regarding company exits shares a common thread, as detailed below:

Instacart Announces New Leadership Ahead of Public Offering

A significant development has occurred within the grocery delivery sector. Apoorva Mehta, the long-serving CEO and co-founder of Instacart, has transitioned to the role of chairman of the company’s board of directors.

Fidji Simo, an executive from Facebook, will now assume the position of CEO. During my earlier time with TechCrunch, Mehta proactively shared updates regarding Instacart’s expansion into new Bay Area locations via Facebook messages.

Zomato Establishes IPO Price Band in India

Further noteworthy news in the delivery service arena originates from India’s Zomato. The company has established a price range for its IPO shares.

Shares will be priced between 72 Indian rupees (approximately 96 cents) and 76 rupees (approximately $1), with a targeted maximum valuation of $8.56 billion, as reported by TechCrunch.

Circle to Become Publicly Traded via SPAC

For those involved in the cryptocurrency space, Circle is a well-known entity. For others, it is the organization that acquired SeedInvest and plays a key role in the development of the USDC stablecoin.

Circle is preparing to enter the public market through a Special Purpose Acquisition Company (SPAC) deal, achieving a valuation in the multibillion-dollar range. This move can be seen as capitalizing on the momentum generated by Coinbase’s public offering.

Startup and Venture Capital Updates

Shifting focus to the foundational phases of startup development, here's a summary of recent news within the startup ecosystem.

• PowerZ Secures $8.3M for Gaming-Education Integration: This French company uniquely blends gaming with educational technology. They anticipate a rapid rise in the popularity of educational games, as reported by TechCrunch. This observation resonates; many individuals, including myself, have gained significant historical knowledge through games like Crusader Kings III.
• Rootly Obtains $3.2M to Integrate SRE Tools with Slack: Given our reliance on platforms like Slack and Teams, extending functionality within these services is a logical progression. Rootly aims to embed an incident-response solution directly into the workspace that Salesforce is in the process of acquiring. This funding round and the company’s approach are noteworthy, particularly the development of applications built directly on Slack.
• Z1 Aims to Deliver Fintech Solutions to Latin American Gen Z: Homebrew is investing in early-stage ventures in Latin America, hoping Z1 will replicate Nubank’s success in the region – building a major fintech company and securing substantial funding. According to TechCrunch, Z1 recently completed the Y Combinator program, resulting in a small equity stake for Homebrew in the $2.5 million funding round.
• Popshop Live Garners $20M to Reimagine the QVC Model: Now valued at approximately $100 million, Popshop Live has established a thriving business by catering to the millennial preference for unique brands and independent sellers, alongside larger retailers. With increased capital and growing retailer interest, this startup warrants attention.
• Smile Identity Raises $7M Series A for Identity Verification: Concentrating on the African market, Smile Identity has secured a Series A funding round to provide KYC (Know Your Customer) and ID verification services across the continent. TechCrunch indicates that Costanoa Ventures and CRE Venture Capital jointly led the investment.

Finally, Natasha Mascarenhas reported that “Peter Boyce II has departed General Catalyst to launch his own venture firm, just over a year after being promoted to partner.” This week has seen considerable activity in the creation of new venture funds, with Acrylic and Renegade also announcing their formation.

NS1 EC-1: A Deep Dive

This article initiates a detailed exploration of NS1, a prominent internet infrastructure company. Our focus will be on the intricacies of its operations, as part of a series examining significant startups.

NS1 has gained recognition primarily for its innovative, software-defined domain name services (DNS).

Part 1: The Genesis of NS1

The story begins with three engineers who envisioned a complete overhaul of the internet’s fundamental addressing system.

Their ambition was to reconstruct the core infrastructure that underpins online activity.

Part 2: Product Evolution and Future Plans

NS1’s development process is characterized by continuous experimentation and contributions to the open-source community.

The company’s scope extends beyond traditional DNS offerings, indicating a broader strategic vision.

Part 3: Analyzing the Competitive Environment

This section provides an overview of the wider internet infrastructure market.

It examines the competitive forces at play and NS1’s position within this landscape.

Part 4: Building a Customer Base

A pivotal moment for NS1 arose from a misstep made by a key competitor.

This situation ultimately proved advantageous, becoming a continuous source of opportunity for NS1’s growth.

For those interested in understanding how NS1 successfully transformed a traditionally stable, yet often overlooked, component of the internet into “a strategic advantage and a valuable asset for businesses” within a relatively short timeframe of eight years, further reading is encouraged.

(Extra Crunch is a membership program designed to empower founders and startup teams. Registration is available here.)

Big Tech Inc.

Here are some recent updates from companies within the Big Tech sphere, concluding our current news summary.

Dropbox's Evolving Workplace

Dropbox is redefining the concept of the modern workplace. This isn't related to product development, but rather a shift in their approach to physical office spaces.

The company is designing offices to resemble upscale, private lounges rather than traditional corporate environments. This innovative approach is garnering attention and calls for wider adoption.

Beyond Meat's New Product Launch

Beyond Meat, trading under the ticker symbol $BYND, has introduced plant-based chicken tenders. These tenders are now available at over 400 restaurants across the United States.

As a publicly traded company, Beyond Meat has experienced significant market fluctuations since its initial public offering. The stock has reached a high of $239 per share.

Currently, the company maintains a valuation of approximately $140 per share, considerably higher than its original IPO price of $25.

Beyond Meat continues to be a notable player in the plant-based food industry.

TechCrunch Insights: Identifying Leading Growth Marketing Professionals

TechCrunch is dedicated to assisting startups in locating specialists who can effectively address their specific requirements.

Currently, a curated list of premier growth marketers is being developed to facilitate this process.

Since the launch of our survey, numerous valuable recommendations for growth marketing professionals within the startup ecosystem have been submitted.

Ongoing Survey and Feedback

We anticipate receiving further responses and are eager to analyze the incoming data.

Participation in the survey can be completed at this link.

Resources on Growth Marketing

TechCrunch’s editorial content relating to growth marketing encompasses articles authored by our team, contributions from guest writers, and featured posts.

For example, Nick Costelloe’s piece, “Demand Curve: 10 lies you’ve been told about marketing,” is available on Extra Crunch.

Contribute Your Expertise

Individuals interested in submitting a column for consideration are encouraged to explore the submission guidelines available here.