Dharana Capital has acquired a 12-14% stake in residential community management platform Mygate for about ₹225 crore, backing the startup’s plans to expand its presence across India and broaden its product offerings, a top executive said.
The transaction values Mygate between ₹2,100 crore and ₹2,300 crore and comprises a mix of primary capital and secondary share sales by some early investors seeking partial exits, co-founder and chief executive Abhishek Kumar told Mint in an interview.
“We believe that urban India’s move towards gated communities is an irreversible trend and Mygate provides an essential platform to power these ecosystems,” Dharana’s founder and managing partner Vamsi Duvvuri said.
The fresh capital will be used to accelerate Mygate’s expansion into newer markets. “We are running experiments and have taken our products to the Middle East, where we are currently running pilots. We are also looking to enter additional payment solutions for households,” Kumar said.
Founded in 2016 by Kumar, Vijay Arisetty and Shreyans Daga, Mygate operates a technology platform aimed at improving life within gated communities. The company serves more than 27,000 residential communities and over 5.7 million households, offering products spanning security, finance and accounting, and resident engagement.
To date, the company has raised more than $80 million from investors including Tiger Global Management, Tencent Holdings and Prime Venture Partners, as well as strategic investors such as Acko and Urban Company. According to Tracxn, Mygate was last valued at about ₹1,670 crore in April 2023.
Mygate seeks to enable seamless interactions among residents, management committees and service providers while improving transparency and operational efficiency. Over time, the platform has evolved from a visitor management solution into a broader ecosystem that includes local services discovery, maintenance payments and a marketplace for used goods.
“Over the last four years, we have taken a conscious call to growth sustainably and build a profitable enterprise after spending the initial few years in the distribution phase of the company and establishing product market fit,” Kumar said. He added that the company has grown about 34-35% in operating revenue through FY26 and has a strong trajectory to profitability.
In FY25, Mygate reported an 80% increase in operating revenue to ₹173.5 crore from ₹96.2 crore a year earlier, while narrowing its net loss to ₹15.4 crore from ₹39.7 crore in FY24.
Dharana Capital is an India-focused growth-stage technology and consumer investment firm. Its portfolio includes Urban Company, LAT Aerospace, Vyapar, Temple, Zopper, Lentra, Itilite, Petpooja and Beyond Appliances. The firm is backed by leading US university endowments and other non-profit institutions.
