Co-working space provider Innov8 secures $4 Mn pre-Series A round

Co-working space provider Innov8 has raised $4 million in pre-Series A round led by Credence Family Office. The Delhi-based startup's existing investors also participated in the round.

While Innov8 counts several bluechip angels including Rajan Anandan, Vijay Shekhar Sharma, Girish Mathrubootham and others, it's not clear who all participated in the financing round.

The Delhi-based company will use the fresh proceeds to expand its operations beyond Bengaluru, Mumbai, Delhi, and Chandigarh, reports Mint.

In February 2017, Innov8 had raised an undisclosed amount of angel funding led by LetsVenture and Venture Catalysts. Interestingly, the three-year-old startup had been looking to raise around $15 million Series A funds. It seems like its plan for a larger Series A round didn't materialise.

Currently, the Y Combinator 2016 Summer alumni claims to have a 4,000 member strong community comprising of startups and individuals across sectors, industries, and locations.

It charges in the range of $124 (Rs 7,999) for a hot desk to $202 (Rs 12,999) for a dedicated desk on a monthly basis.

On the financial front, the startup recorded revenue increase by 4.3X to Rs 1.95 crore in FY17 while its losses shot up by 156X. During the same period, its losses jumped to Rs  2.59 crore in FY17 from Rs 1.64 lakh in the preceding fiscal.

Innov8 is yet to disclose its financial statements for FY18.

Over the past two years, a number of local co-working spaces has exploded in India. And a slew of them including Awfis, BHive and 91Springboard had successfully raised funds in the past.

However, raising follow on capital won't be easy for these companies as their competitors count heavyweights like SoftBank-backed WeWork and RMZ Group promoted CoWork.