The number of unicorns, or firms valued at over $1 billion, will increase by 122 to surpass 200 companies in the following four years despite the ongoing “funding winter,” which can have an impact on startup valuations, according to a report released recently.
As per the Hurun Research Institute, there are already 84 unicorns, up from 51 during the same period last year. There are also 122 other companies valued at over $200 million that could become unicorns in the upcoming two to four years.
According to reports, a ‘funding winter’ is upon the otherwise fledgling Indian startup ecosystem due to various reasons like liquidity conditions getting tighter all across the world.
The report, which has been done in association with ASK Private Wealth, said the 122 companies most likely to achieve the ‘unicorn’ status are valued at $49 billion, which is a 36 percent jump since last year.
Unicorn Index: 122 Companies currently employ 82,200 people
At present, these 122 companies employ 82,300 people, as per the ASK Private Wealth Hurun India Future Unicorn Index 2022.
Venture capital fund Sequoia is the most popular backer of unicorns, having invested in 39 out of 122 unicorns, followed by Tiger Global (27 unicorns).
The list classified startups into two categories and said that 51 companies can achieve unicorn status in two years, while 71 can do so in up to four years.
The 2017-founded logistics tech startup Shiprocket is most likely to achieve the unicorn status, followed by quick commerce company Zepto and ecommerce player Turtlemint, it said.
“The country’s startup ecosystem is expanding at an unprecedented rate. In just one year, the number of unicorns has increased by 65 percent,” Anas Rahman Junaid, Managing Director and Chief Researcher, Hurun India, said.
