Pocket FM secures US$16 Million Debt Funding
May 2, 2023; India: Audio Series platform Pocket FM today announces that the company has secured US$16 million in debt funding from US-based Silicon Valley Bank, a division of First Citizens Bank. With this additional capital infusion, the company will double its strategic priorities to strengthen its audio series library, expand its creator community by attracting creative minds globally, and accelerate its revenue.
Riding on the success of its micropayment-led pricing model, the company clocked 12X revenue growth last year, surpassing US$25 million ARR (annualized revenue run-rate) in October 2022.
Commenting on the new debt arrangement, Rohan Nayak, Co-founder & CEO, of Pocket FM said, “We are thrilled to be leading the way in creating a new entertainment category in the form of audio series, with a focus on strong unit economics. The debt funding we have secured gives us the resources to continue expanding our content library and build the largest audio series platform globally. This investment is a testament to our growth trajectory and mission to revolutionize the audio entertainment landscape. We are excited to build on this momentum and bring our listeners even more engaging content.”
Commenting on the funding agreement, Chris Cameron, Senior vice president at Silicon Valley Bank added, “Pocket FM has an innovative vision to audio storytelling and is helping to position it as a mainstream entertainment format. Its unique approach to audio entertainment and impressive unit economics shows significant revenue potential in a massive addressable market. We are excited to work with Pocket FM and support the company’s continued growth and success as its banking partner.”
Anurag Sharma, Vice President – Finance, at Pocket FM said, “We are grateful to Silicon Valley Bank for their confidence and belief in Pocket FM’s strong revenue metrics and innovative approach to audio entertainment. With them joining our growth journey, we will continue accelerating our growth curve and strengthening our content library, giving the audio series its identity.”
Pocket FM has been witnessing strong adoption of audio series and growth in listening time, catering to an 80 million listeners community globally, with listeners spending an average of over 150 minutes daily.
Founded in 2018, Pocket FM has raised US$93.5 million until Series C. With this new debt round, the total capital infusion has increased to US$109.5 million.