Zyber 365 Technologies, founded by Pearl Kapur, recently garnered attention for its claim of raising $100 million in Series A funding, which supposedly propelled its valuation to $1.2 billion. This remarkable assertion positioned the Web 3.0 AI firm among India’s elite unicorns. However, a deeper look into the company raises questions about the legitimacy of its claims.
The Unicorn Claim
Zyber 365 emerged on the radar in July 2023 when it announced its entry into the unicorn club, stating it had secured $100 million from an undisclosed entity. This funding was noteworthy, particularly since it followed just a week after the company’s incorporation in India, and the parent company was established in London two months prior. Zyber boasted about becoming “India and Asia’s fastest Unicorn in just three months” and the “109th Unicorn in India’s vibrant start-up ecosystem.” This designation attracts further investment interest, making it a key milestone for any start-up.
Questions Arise
Despite the excitement surrounding Zyber 365, scrutiny of public records reveals a lack of substantial information about the company. Its registered address is in a small village in Punjab, and it has minimal authorised and paid-up capital. Zyber’s website claims it operates globally from London but lists its Indian offices in Punjab and Gujarat.
The board of directors consists of Pearl Kapur, Sunny Piyushkumar Vaghela, and Surdas Puthem, with Kapur being the founder and chairman. However, the company has not filed any financial reports with the Ministry of Corporate Affairs since its incorporation.
Who is Backing Zyber?
The funding that elevated Zyber to unicorn status reportedly comes from the London-based SRAM & MRAM Group, led by Sailesh Lachu Hiranandani. The group has made substantial investments in various sectors, including a $3.64 billion semiconductor fabrication plant in India and a separate $100 million investment in the cargo division of SpiceJet.
However, it appears that no actual funds have been transferred to the SpiceJet cargo venture, raising further doubts about the financial dealings of Zyber and its backers. SpiceJet recently clarified that no investment had been made by SRAM and MRAM Group in its cargo division.
The Silence of the Founders
Despite numerous attempts to reach out for comments, Pearl Kapur has not responded to inquiries regarding the status of the funding or the company’s operations. He is active on social media, presenting himself as India’s youngest billionaire at 27, but this public persona contrasts sharply with the opacity surrounding Zyber’s financial situation.
While Zyber 365 Technologies has successfully attracted attention with its unicorn claims and impressive funding rounds, a lack of transparency and questionable financial backing casts doubt on the company’s legitimacy. As the start-up ecosystem continues to grow, it is essential to scrutinise such claims to ensure that the narratives presented are supported by factual evidence. The future of Zyber will depend on its ability to deliver on its promises and maintain the trust of its investors and the public.
