Tiger Global Management Leads $50 Million Investment in SaaS Firm Zenoti
New York-based investment firm Tiger Global Management has spearheaded a $50 million funding round in Zenoti, a SaaS company specializing in the salon and spa sector. Existing investors Accel Partners and Norwest Venture Partners also participated in the round, with Avendus serving as the financial advisor. The new funding will support Zenoti’s expansion into existing and new markets, as well as drive innovation and hiring efforts.
Zenoti has experienced impressive growth, with a 100% increase in the past year and a projected 130% growth for 2019. The company, which raised $6 million in Series A funding in 2015 and $15 million in 2016 from Accel and Norwest Venture Partners, has now raised a total of $71 million.
Zenoti
This investment marks Tiger Global’s fifth in India since resuming activity late last year. The firm previously invested in social platform Roposo in December 2018, Bengaluru-based expense management startup Fyle Technologies in February, and customer lifecycle management platform CleverTap in April. Most recently, Tiger Global invested $90 million in B2B agri-marketing platform Ninjacart. Tiger Global has been a significant player in India’s startup ecosystem, having invested early in Flipkart in 2009 and profiting substantially when Walmart acquired a majority stake in the e-commerce company last year. March saw the surprising departure of Lee Fixel, who led the Flipkart investment, from Tiger Global to pursue independent ventures.
Founded in 2010 by serial entrepreneur Sudheer Koneru and his brother Dheeraj Koneru, Zenoti, operated by Soham Inc., is based in Seattle and Hyderabad. Before founding Zenoti, Sudheer Koneru contributed to the development of the Windows operating system and established an enterprise software company (now SumTotal), which grew to $100 million under his leadership. Today, Zenoti serves over 5,000 businesses across 32 countries, supporting a range of clients from large chains to single-location family businesses. Their all-in-one software platform is known for its innovations that enhance customer spend, retention, and employee performance.