Sequoia Capital India has invested Rs 40 crore (about $8 million) in Just Dial, a multi-platform local classified listings (local search) firm based in Mumbai. The investment has been made from the $300 million Sequoia Capital India Fund III, the firm’s third venture capital fund raised in 2007 for the India market. Other investments from this fund include Vasan Healthcare, Sai Advantium Pharma and Ujjivan Microfinance. Just Dial is the fund’s eleventh deal. It is now more of an SME (small and medium enterprise) rather than a startup and doesn’t fit the venture theme in the strictest sense. Surprised that the investment has not been made from Sequoia India’s current growth fund.
The deal was led by Sequoia India managing director Sandeep Singhal (in photo), who will now sit on the Just Dial board. The press release did not specify the stake that has been acquired by the venture capital firm, but a VC Circle post says it has taken less than 10% — see more details here. Just Dial has raised two rounds of venture capital funding so far — $12 million from SAIF Partners in 2006 and $15 million from hedge fund Tiger Management in 2007. They remain invested in the company. The company expects to clock Rs 130 crore revenues this year and is profitable. It plans to launch services in the US later this year. More on what it plans to do with the money in Outlook Business here.
Some fast facts on Just Dial (from the website and press release):
- Founded in 1994 by first generation entrepreneur VSS Mani.
- Offers services on telephone, wireless, Internet and print.
- 25 million unique users
- Available in 240 cities
Sequoia India has raised $1.8 billion for the Indian market till date and invests in both early stage and growth companies from separate funds. It recently set up a third office in New Delhi. The other two are in Mumbai and Bangalore.
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