Predict your next investment

Angel Investor (Individual)

See what CB Insights has to offer

Investments

3

About Devendra Rane

Devendra Rane Headquarter Location

Predict your next investment

The CB Insights tech market intelligence platform analyzes millions of data points on venture capital, startups, patents , partnerships and news mentions to help you see tomorrow's opportunities, today.

Latest Devendra Rane News

Exclusive: Coverfox future uncertain, CTO and CEO resign

Feb 17, 2020

Trouble is brewing at insurance aggregator Coverfox. The firm’s co-founder and chief technology officer Devendra Rane moved out of the company a month ago, while its chief executive officer Premanshu Singh resigned last week due to uncertainty over the future of the company, according to two people familiar with the matter. The company executives had requested its existing investors to support further until it achieves profitability. But the investors declined to do so, added the two people. “The company has been struggling to raise funds and its current investors also refuse to put in more money,” said the first person cited above, requesting anonymity. “This led to the top executives leaving and now the board has appointed a new CEO.”  Entrackr couldn’t ascertain the name of the new CEO. Coverfox has been up for sale — looking to consolidate with a larger player in the sector for four-five months but to no avail, added the two people cited above. “It had engaged with several companies including PolicyBazaar, Paytm and even Amazon but none of them showed interest in taking over the company,” said the second person cited above, requesting anonymity. Paytm was reportedly in talks to absorb Coverfox but the talks didn’t go through. It was also said to be in conversations to r aise $50 million in Series D round but existing investors aren’t keen on infusing more money, as per the second source cited above. “Paytm had initially offered about $70-80 million to Coverfox but the company denied the offer as it believed it deserved a better deal,” said the above-quoted source. Six months later, it resumed talks with Paytm for the deal since the company talks with other potential acquirers did not materialize. But, this time Paytm wasn’t even ready to pay the price it originally offered. “Paytm offered $25-30 million worth cash buy-out that the company’s board rejected,” he said. Sources also say that the Noida-based firm has been building its own insurance vertical that is likely to be launched soon. It’s worth noting that SAIF Partners is a common investor in both firms. Coverfox has been left far behind when compared to its deep-pocketed rival PolicyBazaar. Meanwhile, newbies like Turtlemint grew at a quick pace and grabbed more market share leaving Coverfox trailing. “Loss of market share and poor unit economics evaporated the confidence of existing investors,” said the second source. Coverfox was founded by Varun Dua and Rane in 2013. However, Dua moved away eventually to start Acko General Insurance in 2016. Founded in September 2017 as insurance firm, Acko raised close to $150 million in total capital including a $36 million worth round in November last year. According to regulatory filings, Coverfox had an operational revenue of Rs 32.4 crore while it spent about Rs 135.4 crore in FY19. So far, Coverfox has raised over $55 million from the likes of International Finance Corporation (IFC), Transamerica, SAIF Partners, Accel and Catamaran Ventures–the family office of Infosys’ Narayan Murthy. Detailed queries sent to Coverfox’s CEO Singh last week didn’t elicit any response. Queries sent to SAIF Partners, Accel and Rane remained unanswered. We will update the post as and when they respond. Paytm declined to comment on the story. Entrackr couldn’t ascertain details of any kind of layoffs at Coverfox, however, CVs of top management executives have been floating in the ecosystem for a while, say sources. Reviews on Glassdoor by Coverfox’s employees also allude to the fact that the company is going to a financial crunch. That said, it remains unclear on how things will pan out from here for the Mumbai-based company. Even if it finds an acquirer place, it is sure to be a distress sale. No stakeholder is expected to make any money from Coverfox.

Devendra Rane Investments

3 Investments

Devendra Rane has made 3 investments. Their latest investment was in ThatMate as part of their Seed VC on May 5, 2021.

CBI Logo

Devendra Rane Investments Activity

investments chart

Date

Round

Company

Amount

New?

Co-Investors

Sources

5/31/2021

Seed VC

ThatMate

$0.14M

Yes

Aditya Singh, Ashish Tickoo, Devadatta Sahoo, Kanti Prabha, Krishna Mehra, Mamta Nehra, MyGov, Premanshu Singh, rebalance, Shruti Lakkaraju, Supriya Kumari, Vivek Lodha, and Yash Gupta

1

8/25/2016

Angel

Subscribe to see more

$99M

Subscribe to see more

10

2/21/2016

Seed VC

Subscribe to see more

$99M

Subscribe to see more

10

Date

5/31/2021

8/25/2016

2/21/2016

Round

Seed VC

Angel

Seed VC

Company

ThatMate

Subscribe to see more

Subscribe to see more

Amount

$0.14M

$99M

$99M

New?

Yes

Subscribe to see more

Subscribe to see more

Co-Investors

Aditya Singh, Ashish Tickoo, Devadatta Sahoo, Kanti Prabha, Krishna Mehra, Mamta Nehra, MyGov, Premanshu Singh, rebalance, Shruti Lakkaraju, Supriya Kumari, Vivek Lodha, and Yash Gupta

Sources

1

10

10

CB Insights uses Cookies

CBI websites generally use certain cookies to enable better interactions with our sites and services. Use of these cookies, which may be stored on your device, permits us to improve and customize your experience. You can read more about your cookie choices at our privacy policy here. By continuing to use this site you are consenting to these choices.