Xiaomi, the Chinese mobile phone producer, and venture capital fund Shunwei Capital of its founder Lei Jun are in last phase of spending over Rs 120 Crore in ShareChat, the local language social networking platform, people aware of this matter claimed to the media in an interview.
This is just the 2nd round of funding for the Bengaluru-located app, which has come out as one of the trendiest startups aiming at the vernacular talking Internet consumers outside of the leading towns.
ShareChat, obtainable only on Android handsets, backs 8 regional languages with English noticeably missing as an alternative. The app says to have 4.2 Million monthly active consumers and 1.3 Million everyday active consumers and has been in the limelight for a group of venture sponsors.
If the capital from Xiaomi came through, it will increase the strategic bets of the Chinese company here in India after its spending in Mech Mocha, a gaming company, and Hungama Digital Media. All of these are planned to assist the mobile producer implant content on to its handsets to provide a richer experience to users.
“The term sheet was inked a couple of weeks back. The spending must officially conclude shortly,” a source well aware of this topic and having deep knowledge of this matter claimed to the media on the condition of secrecy. One more sources claimed that the contract is probable to cost the 2-year-old firm at Rs 400–500 Crore. Queries derived to Farid Ahsan, the co-founder & CEO of ShareChat, and Xiaomi did not draw out an answer. Established by 25-year-old student from IIT Kanpur, ShareChat has kept itself away from the leading rung of English communicating Internet consumers who use platforms such as Instagram, Twitter, and Snapchat. Ahsan claimed to the media in a latest interaction that they were on an assignment to grab the upcoming billion Internet consumers who will come from the rural India and smaller cities.”This is an inspirational and young set of population that is arriving on to the Internet now owing to the reasonably priced handsets and simple accessibility of mobile data,” he further claimed.