Student accommodation platform Stanza Living has received a commitment of $50 million in an equity round led by New York-based hedge fund Falcon Edge Capital. As per a Mint report, the startup has received capital commitments from the hedge fund as well as its existing investors driving up its valuation to $300 million.
The growing market of student accommodation sees millions of youngsters moving cities every year for education and job opportunities in India. With this investment, the New Delhi based startup yearns to tap this market and reach 1 lakh beds by 2021 as part of its expansion plans.
It typically eyes cities with high student concentration, it claims to have 15,000 beds across 10 cities in India.
The company provides fully serviced accommodation to students, manage food, housekeeping, security and provides amenities like wifi, recreational spaces and maintains a feedback mechanism.
Falcon Capital has been quite active in the Indian startup ecosystem, investing in a host of startups through its VC and private equity funds in India. It had poured capital in startups such as cab-hailing firm Ola, DealShare, CreditVidya and more recently, mobility service provider Bounce.
The asset management firm has 16 limited partners (LPs) with total assets under management valued over $2.2 billion. One of its largest bet includes US-based cab aggregator LYFT.
Last year, Stanza living raised $10 million in its Series A round led by Sequoia Capital to add more beds in cities like NCR, Bengaluru, Dehradun, Jaipur and is slated to expand its operations in Chennai, Coimbatore, and Ahmedabad in coming months.