Mumbai-based e-surveillance services provider Securens Systems Pvt Ltd has raised around $5 million (Rs 35 crore) from existing investor Mayfield India and venture debt provider Trifecta Capital, according to a media report on Tuesday.
Mayfield put in around $2.2 million (Rs 15 crore), while Trifecta added another $2.95 million (Rs 20 crore) in venture debt, a report in Mint stated.
An email query sent to Securens confirming the development did not elicit a response at the time of filing this report.
In July 2014, Securens had raised $5 million from Mayfield Fund by subscribing to preference and equity shares of the company. The fund had earlier injected $6 million in the company in March 2014 and prior to that it had put in around $4 million in November 2012.
Founded by Sunil Ramanna Udupa in 2011, Securens System is an Internet of Things (IoT) company that provides alarm system solutions, including video verification and two-way voice. The e-surveillance company maintains vigilance of over 18,000 ATMs and retail sites across India as well as banks, among others.
“With the latest round of fund raising, the company plans to tap a new set of clients. The company is in talks with many gold loan outlets and has designed a customised solution for such businesses,” Mint quoted Udupa as saying.
Trifecta Capital provides early-stage debt capital to Indian companies, mainly in the technology sector. It usually prices its debt between 15% and 17%. The firm also looks to acquire a stake in companies through cashless warrants or partly paid-up shares.
In August last year, Bengaluru-based Urban Ladder secured $3 million (Rs 20 crore) in venture debt from Trifecta Capital.
In January 2016, the venture debt firm invested $1.8 million (Rs 12 crore) in Industrybuying.com, an online B2B marketplace for industrial goods.
Other startups that have raised venture debt financing are Hyderabad-based kidney care clinic chain NephroPlus, express surface logistics firm Rivigo, messaging platform HelpChat, and OneAssist Consumer Solutions Pvt. Ltd, which provides protection for credit and payment cards and smartphones.
Venture debt is an important tool of funding for companies as it rarely involves stake dilution by the promoters. It also provides the companies more time to grow. The segment is growing in India even as venture capital activity is seeing a slowdown.
Besides Delhi-based Trifecta Capital, other venture debt players include Mumbai-based InnoVen Capital, Bengaluru-based Capital Float, Chennai-based IFMR Capital and Ahmedabad-based Lendingkart.
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