The firm, which has its headquarters in Bengaluru, plans to use the additional funding to grow in its current markets, introduce new product categories and features, and further fortify its product and technical teams.

Lokal, a news and classifieds website specializing in regional languages, announced on Tuesday that it had raised Rs 120 crore ($14.6 million) from new investors, including Tokyo-based venture capital firms Global Brain and Sony Innovation Fund.

According to the release, India Quotient and other current investors also took part in the investment round, known as Series B.

How the funds will be used

The firm, which has its headquarters in Bengaluru, plans to use the additional funding to grow in current markets, introduce new product categories and capabilities, and further develop the product and technology teams, according to the statement. The business has already raised over Rs 225 crore ($27.5 million) in total. 3one4 Capital, India Quotient, and Y Combinator are a few of Lokal’s other notable backers.

In addition to daily updates, commodity pricing, local jobs, real estate, matrimonial, local business advertorials, and classifieds, Lokal gives users in tier II and III cities and beyond access to hyperlocal information. Lokal was founded in June 2018 by Jani Pasha and Vipul Chaudhary.

“We observe a natural increase in the population’s use of web-based services, necessitating the necessity for alternative social platforms like Lokal.” According to Gen Tsuchikawa, CEO and Chief Investment Officer of Sony Ventures Corporation, “We look forward to assisting the team as they broaden their reach across the quickly expanding advertising market.”

With a staff of over 110 people, Lokal counts over 40 million downloads over the course of the last five years across seven Indian states. On its platform, small and medium-sized enterprises (SMEs) and brands that are aiming to reach the same user base can also find content-driven digital marketing solutions.

Founderspeak

As we reimagine how Tier 2+ customers in India get hyperlocal information, we are happy to have assistance from Global Brain and Sony Innovation Fund in addition to the current investors on our board. According to our founder and CEO, Pasha, we are profitable in two of the seven states where we do business.

Through a hyperlocal platform for content, community, and classifieds, “Lokal is developing the application layer that truly unleashes the genuine potential for millions of Indians. According to Anjani Bansal, partner and national head for Global Brain Corporation, it is already active in over 180 districts across seven states. Lokal is currently active in Telangana, Andhra Pradesh, Tamil Nadu, Karnataka, Kerala, Maharashtra, and Gujarat.