Saavn, the music streaming company that competes with Times Internet's Gaana, is raising $100 million or Rs 630 crore from investors led by Tiger Global Management.
Saavn plans to invest in long-term product development and aggressive customer acquisition with the funds. In addition, the company is investing in its proprietary ad technology, growing the sales force, and inking new content deals, Saavn said in a statement.
Since announcing 11 million monthly active users in first quarter of 2015, it has increased its monthly active user base to 14 million users. Saavn is likely to cross 20 million users by the end of the year.
Existing investors Bertelsmann India Investments, Steadview Capital, Liberty Media, and Mousse Partners are participating in Saavn’s Series-C round. Avendus Capital in Mumbai and LionTree Advisors advised on the deal. The company is also adding new global investors Quilvest, Hong Kong-based hedge funds, and a number of strategic individuals in the round.
“Our investors continue to be the best partners in the world. We’re excited to add millions of users to the Saavn family and deliver our long-term product vision across multiple platforms. Music is only the beginning,” Rishi Malhotra, chief executive officer and co-founder of Saavn, said in the statement.
Saavn, founded in 2007, has so far raised nearly $ 20 million or Rs 120 crore from investors.