HMD, the entity behind Nokia Android smartphones and Tablets has raised additional funding of USD 100 million from investors. It aims to scale business operations and fund the company’s growth using this fund. With this round of funding HMD’s market valuation has crossed USD 1 Billion giving it the prestigious Unicorn start-up status.
From the official blog post,
Finland based start-up, HMD Global – the home of Nokia phones, today announced that it has raised additional USD 100 million from multiple investors to scale business operations and fund the company’s growth in its second year. This round of investment has been led by Geneva based, Ginko Ventures via Alpha Ginko Ltd. with participation from DMJ Asia Investment Opportunity Limited and Wonderful Stars Pte. Ltd., a subsidiary of FIH Mobile Ltd.
With the latest round of funding, HMD Global’s current market valuation exceeds USD 1 billion, giving it a unicorn status.
HMD plans aggressive business expansion in 2018 using the funding.
HMD Global will be making strategic investments in scaling its fast-growing business operations. In 2018, the company plans to aggressively expand its portfolio of Nokia smartphones and double down on expanding channel reach in strategic markets while continuing to deliver innovation where it matters most to consumers.
HMD also posted its annual revenue figure in the official Blog post. HMD ushered in a USD 2.13 Billion revenue in financial year 2017 with an operational loss of USD 77 million. The loss in the very first year of its inception is expected and it may take one to two years for even a break-even forget about making a profit.
Set up on December 1, 2016, the company in its first year has shipped more than 70 million Nokia branded phones, scaled sales operations in over 80 countries with phone activation coming from 170 countries. Today, Nokia phones are sold at over 250,000 retail outlets across the world and more than 600 direct trade partners are committed to this next chapter of Nokia phones globally. In financial year 2017, HMD Global posted a total revenue of EUR 1.8 billion (USD 2.13 billion) along with an operational loss of EUR 65 million (USD 77 million).
Demonstrating incredible passion, engagement, and enthusiasm for the new portfolio, the response from fans around the world to the new Nokia range of Android smartphones has been humbling. HMD is set out to capture the hearts and minds of the next generation of consumers. Two-thirds of consumers buying a Nokia phone today are below the age of 35 years. Four out of every five consumers are recommending a Nokia smartphone to their friends and family. Over 150,000,000 visits have been welcomed to the Nokia.com/phones website since Jan 2017.