Adonmo Pvt. Ltd, which runs an advertising technology startup, has raised $3 million (approximately Rs 21.40 crore at current exchange rates) in its pre-Series A funding round led by Alibaba and Ant Financial-backed BAce Capital.
Other investors that participated in the funding round include Astarc Ventures and Mumbai Angels Network.
The Hyderabad-based company will use the funds to expand its operations in India, enhance its product development and increase its team, AdOnMo said in a statement.
Sravanth Gajula, co-founder at AdOnMo, said the company wants to take a different approach to issues in the advertising industry by investing heavily in technology with a view to making the entire space contextual and accountable.
“Over two years of our growth journey, we have filed seven patents. We expect further growth through more IP and patents in upcoming quarters,” Gajula said.
Separately, BAce Capital managing partner Benny Chen said the firm was confident in its investment because of AdOnMo’s efforts to unify the online and outdoor advertising approaches.
Adonmo was founded in 2017 by Gajula and Sandeep Bommireddi. It aims to help brands reach their audience target at scale through the use of its technological platform. It has partnered with a company such as Amazon, Honda, Exide and HDFC Bank, and also says it provides solutions for small- and medium-sized enterprises.
Currently, it has a presence in Hyderabad, Mumbai, New Delhi, and Bengaluru.
BAce Capital, meanwhile, was set up last year by Benny Chen, the former managing director of Alibaba subsidiary Ant Financial.
The firm invests in early-stage companies with a focus on India and other Southeast Asian markets. The VC firm says its investment in AdOnMo is part of its strategy to deploy more than 60% of its $150 million fund in Indian companies.
Some of the other domestic firms in its portfolio include Paytm, Zomato, BigBasket, Rapido, and Healofy.