Startup news and updates: Daily roundup (March 28, 2025)

From KRAFTON's strategic acquisition in the gaming sector to significant funding rounds in fintech and AI recruitment, catch up on the latest business moves shaping India's startup ecosystem

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KRAFTON acquires controlling stake in Nautilus Mobile for Rs 118 Cr

South Korea-based KRAFTON has acquired a controlling stake in Pune-based game development studio Nautilus Mobile for Rs 118 crore, marking the company’s first control deal in India.

Nautilus, which is known for its Real Cricket franchise, will be able to tap into KRAFTON’s global presence and technology to expand its market reach and create new opportunities for Indian game developers.

The deal will see the exit of JetSynthesys as a majority investor in the studio. In 2020, the Sachin Tendulkar-backed company had acquired a 100% stake in Nautilus Mobile.

Post KRAFTON’s acquisition, JetSynthesys will remain a minority investor in the company and continue to work with Nautilus in areas including esports. This is the second infusion by KRAFTON into Nautilus. In 2022, the company made a strategic investment of Rs 40.5 crore in the company.

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smallcase raises $50M in Series D round led by Elev8

Online investment platform smallcase has raised $50 million in a Series D funding round led by Elev8 Venture Partners.

The round also saw participation from State Street Global Advisors, Niveshaay AIF, Faering Capital, and Arkam Ventures. The funds will be used to expand smallcase’s investment product offerings across asset classes, strengthen retail investor engagement, and deepen its partnerships with financial institutions, according to a statement.

“India’s retail investing landscape is undergoing a seismic shift, and smallcase has been at the forefront of this transformation,” said Navin Honagudi, Managing Director and Founding General Partner at Elev8 Venture Partners.

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Funding News

Zaggle acquires majority stake in EffiaSoft to expand global footprint

Zaggle Prepaid Ocean Services Limited has acquired a 51% controlling stake in EffiaSoft Private Limited, a move aimed at expanding its global presence and enhancing its portfolio of offerings.

The acquisition includes a 45.33% stake for Rs 36.72 crore and an additional 5.67% stake for Rs 4.59 crore from existing shareholders.

EffiaSoft, known for its enterprise software solutions, including the flagship product JustBilling, will complement Zaggle’s prepaid card solutions. This strategic acquisition aligns with Zaggle’s vision to become a global leader in the spend management space.

Raj P. Narayanam, Founder & Executive Chairman of Zaggle, commented, "This acquisition marks a significant milestone in Zaggle’s growth journey. By integrating EffiaSoft’s advanced technology solutions with our existing platforms, we aim to offer a more seamless, efficient, and scalable spend management and payment experience."

EffiaSoft’s international client base and cutting-edge technology are expected to bolster Zaggle’s position in key global markets, including India, Singapore, Europe, and the United States.

Expertia AI secures pre-Series A funding led by Rockstud Capital

Expertia AI, an AI-driven recruiter platform, has raised a Pre-Series A funding round led by Rockstud Capital. The funds will be used to enhance product development and expand the company’s technology team.

Founded in 2021 by Kanishk Shukla and Akshay Gugnani, Expertia AI automates talent discovery, sourcing, screening, assessment, and interviews across multiple job platforms. The company has processed over 25 million applications and facilitated hiring for more than 230,000 jobs.

"Our mission at Expertia AI is to make hiring autonomous," said Akshay Gugnani, co-founder of Expertia AI. "This funding will accelerate our growth, enhance our product offerings, and expand our global footprint."

Abhishek Agarwal, Managing Partner of Rockstud Capital, noted, "Expertia AI is well-positioned for significant scale and global expansion. Their cutting-edge AI not only streamlines candidate identification but also enhances the hiring process with a unique screening mechanism and extensive reach."

Lendingkart completes Series E funding with Fullerton acquiring majority stake

Lendingkart Technologies Private Limited, a leading fintech in the MSME lending space, has closed its Series E funding round with a strategic investment from Fullerton Financial Holdings (FFH).

This investment grants Fullerton a majority stake in Lendingkart, enhancing the company’s growth prospects and financial flexibility.

Fullerton has infused Rs 252 crore, which will enable Lendingkart to scale its reach and enhance its technology-driven credit underwriting processes. Harshvardhan Lunia, Founder and MD of Lendingkart, stated, "With Fullerton’s strategic support, we will strengthen our underwriting capabilities, expand our lending capacity, and significantly increase loan disbursals to help small businesses thrive."

Other News

MaxIQ Appoints Sastry Malladi as CTO to Bolster Technical Leadership

MaxIQ, an AI-powered revenue platform for B2B SaaS enterprises, has appointed Sastry Malladi as its new Chief Technology Officer (CTO).

Malladi, who has previously held key roles at FogHorn Systems, eBay, and Oracle, will lead MaxIQ’s product and engineering organization. His focus will be on scaling the company’s Revenue AI platform, which helps go-to-market teams drive predictable growth and maximize customer lifetime value.

"I’m thrilled to join the leadership team at MaxIQ during this pivotal growth phase," Malladi stated. "With Revenue AI, we have the chance to change the game. I’m excited to build the platform that brings it all together."

Matt Hickey, CEO of MaxIQ, welcomed Malladi's appointment, highlighting his "track record of technical excellence and entrepreneurial success." This move follows MaxIQ’s recent $7.8 million seed round.

Sumeet Singh appointed to Unity Bank Board as Non-Executive Director

Sumeet Singh, currently serving as the General Counsel and Head of Corporate Affairs at BharatPe, has been appointed to the Board of Directors at Unity Bank as a Non-Executive Non-Independent Director.

Singh brings over 15 years of legal expertise to his new role, with a background in Mergers & Acquisitions, Private Equity, and Venture Capital. At BharatPe, he oversees legal, regulatory, compliance, and corporate affairs.