Bengaluru-based artificial intelligence startup Entropik Technologies is in discussions to raise a fresh round of financing, estimated at about $10 million (about Rs 74 crore), and is in talks with a clutch of investors, including Falcon Edge Capital.
The four-year-old company, which was founded by IIT Kharagpur alum and former CitrusPay senior executive Ranjan Kumar, uses its proprietary AI models and emotion recognition technology to help brands and advertisers conduct consumer behaviour research and measure their response by capturing their cognitive and behavioural parameters.
Entropik’s online emotion intelligence SaaS platform, Affect Lab2.0, undertakes EEG brainwave mapping, eye tracking and facial expression analysis to support end-to-end consumer research for brands. It works with a number of global and domestic companies, across sectors, which includes Vodafone, SAP, Target, ITC, Myntra and BankBazaar.
Kumar, chief executive of Entropik Technologies, declined to comment, citing confidentiality clauses signed, while an email sent to Falcon Edge Capital did not elicit any response at the time of going to press.
Additionally, according to sources aware of the developments, Sequoia Capital had also previously held discussions to potentially invest in the company. ET, however, was not able to ascertain if the talks between the two parties are still ongoing.
Sequoia Capital also did not respond to an email query sent by ET on Sunday afternoon.
If successful, this will be the first round of funding raised by Entropik, since it last scooped up $1.1 million in financing in 2018. So far, the company has cumulatively raised about $1.4 million.
Entropik, which launched its operations in South East Asia and North America last year, as well as crossed $1 million in annual recurring revenue, counts the likes of Bharat Innovation Fund and IDFC Parampara Fund among its early set of institutional backers.
The developments come at a time when New York-based Falcon Edge Capital raised a $300 million India-focused fund, Alpha Wave Incubation, anchored by an undisclosed entity of the government of Abu Dhabi and investors from the UAE. Falcon Edge, which was founded in 2012, is led by Rick Gerson, Navroz Udwadia and Ryan Khoury, and manages assets of over $3 billion.
In India, the investment firm, often referred to a Tiger grand-cub, an offshoot of hedge fund legend Julian Robertson’s Tiger Management, has backed a number of top Indian startups, including Ola, Ola Financial Services, mSwipe, KhataBook and Stanza Living.