The Indian tech sector has witnessed remarkable growth, with the emergence of several successful startups over the past few years. According to reports by Business Today, 26 Indian startups, six of which are fintech, joined the Soonicorn Club in Q1 of the 2023 calendar year. Soonicorns are startups with the potential to become unicorns by achieving the $1 billion valuation mark. However, during this period, no new startup joined the unicorn club as compared to last year’s (2022) first quarter, which saw 14 startups reach the $1 billion valuation mark. According to the report prepared by Economic Times BFSI, 17 Soonicorns from the fintech space have the potential to become unicorns in the coming 2-3 years.
According to another report by Business Today, the Soonicorn Club includes start-ups such as Absolute, Log9 Materials, Simple Energy, Digio, Charge Zone and Ecozen Solutions. The list also features companies from various sectors, such as The Ayurvedic Company, ElectricPeak, Bounce, Beaconstac, and more. This growth highlights India’s strong entrepreneurship scene and investor trust. With creative solutions and smart investments, these startups are set to fuel more growth, solidifying India’s status as a global tech hub.
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The Road to Becoming Unicorns
Based on their revenue, here is the list of the top 5 Soonicorns with the highest potential to become unicorns in the coming few years.
Absolute: Revolutionising Farm Operating Systems
Absolute shines brightly in the agritech sector. With a massive $100 million in initial funding, it leads agricultural transformation, backed by Sequoia Capital India, Alpha Wave Global, and Tiger Global. Founded in 2015 by Agam Khare and Prateek Rawat, the company offers solutions for everything from bioscience research to AI-driven farm operating systems. It is valued at $500 million post-funding, and Absolute aims to become a unicorn in the next three years. Despite facing competition from DeHat and Gramophone, its revenue climbed 12 times last year, demonstrating its commitment to revolutionising global agriculture.
Start-ups are the backbone of the new India. When India completes 100 years of independence, startups will play an important role. PM. Narendra Modi
Log9 Materials: Revolutionising EV Battery Technology
Log9 Materials, with its advancements in electric vehicle (EV) battery technology, stands at the forefront of the sustainable mobility revolution. With a strong track record of innovation and significant investments from industry leaders like Sequoia Capital and Amara Raja Group, Log9 is well-positioned to capitalise on the growing demand for efficient, eco-friendly energy solutions. As per the reports of its recent Employee Stock Ownership Plan (ESOP), it was valued at $224 million. With projected revenues of over $12.08 million by the end of FY24, Log9 aims to reach unicorn status soon, reshaping the landscape of the automotive industry.
CHARGE+ZONE: Pioneering EV Charging Infrastructure
CHARGE+ZONE is working on establishing a diverse EV charging network that will change the future of the Indian automobile industry. With strategic partnerships from industry leaders such as Hyundai and Tata Motors, CHARGE+ZONE is rapidly expanding its footprint to meet the increasing demand for electric mobility solutions. During the last funding round in December 2023, it raised $54 million with a focus on integrating renewable energy sources. With projected revenues expected to exceed $20 million by FY24, CHARGE+ZONE positions itself as an emerging leader in the automobile industry.
Digio: Empowering Digital Transactions
Digio is playing a vital role in India’s digital finance ecosystem, underscoring its potential to achieve unicorn status in the near future. With its capital profits and strategic investments from key players like Zerodha’s Rainmatter and Groww, Digio promises to deliver innovative infrastructure solutions for fintech firms. Digio raised a funding of $o.375 million from Zerodha’s Rainmatter in 2016. Since then, it has been profitable for the last five fiscal years. With projected revenues of $9.66 million by FY24, Digio has positioned itself as a growing leader in the fintech space.
Entrepreneurship is akin to riding a dragon — there are more ups and downs than you can ever imagine. But every challenge on the way only makes you stronger, and every failure only bears new learnings.” – Yatin Hans, Founder of Bigsmall
Ecozen: Innovating Agriculture with Climate-Smart Solutions
Ecozen is working on climate-smart technology solutions, positioning itself as a leader in transforming global agriculture practices. With recent funding of $9.95 million from Nuveen Global Fund and successful pilots conducted in Africa and Southeast Asia, Ecozen demonstrates investor confidence and global scalability. By addressing several challenges farmers face, such as post-harvest losses and efficient water management, Ecozen embodies the convergence of sustainability and agricultural innovation. With projected revenues of $6.04 million by FY24, Ecozen promises to attain unicorn status by 2025.
With Startups emerging from every corner, India has solidified its position as the world’s third-largest startup ecosystem, with more than 112,718 DPIIT-recognized startups spread across 763 districts nationwide. Notably, 13% of these startups are dedicated to IT services, followed by 9% in healthcare and life sciences, 7% in education, 5% in agriculture, and another 5% in food and beverages.
