Palred Technologies, which owns and operates LatestOne.com, an online store for mobile accessories, has raised Rs 22 crore in funding led by Lorintree and other existing investors. The funding will be used for growth through investments in fulfillment centers, brand building, b2b development, inventory and improving the platform.
Hyderabad-based LatestOne.com currently sells items in tech and mobile accessories such as Bluetooth devices, mobile covers, tablet accessories, cables, power banks, Android TVs, headsets, smart watches, CCTV’s etc. It claims to stock over 10,000 different products and operates through its own fulfillment centers in Mumbai and Delhi. Note that the platform does not list smartphones and tablets, rather only accessories.
Palred, formerly known as Four Soft Limited, sold its logistics software product business in 2014 and mentions that it used a small portion of the proceeds to found LatestOne.com. The company mentions that it has reduced its burn rate over the last couple of years, which is set to go below 10% of revenues in Q4FY2017.
As for competition, LatestOne competes with the likes of Chumbak other than ecommerce majors like Flipkart, Amazon, Snapdeal etc., which sell accessories.
Interestingly, in February last year, in an order on insider trading of shares in Palred Technologies (PTL), SEBI ordered the impounding of unlawful gains of over Rs 2 crore from 15 individuals. SEBI had presented ‘mutual friends on Facebook’ as evidence to establish a connection between suspected individuals indulging in an insider trading case. Suspects in the case included Palem Srikanth Reddy, CMD of Palred Technologies.
SEBI’s probe had showed that the entities had traded shares between September 2012 and November 2013 on the basis of unpublished price sensitive information of the slump sale of Palred Technologies’ software division.