A fund managed by British investment firm Baillie Gifford has slashed the fair value of Dailyhunt parent VerSe Innovation to about $576 million — nearly 90% below its $5 billion peak valuation in 2022. The markdown was reported on 27 October 2026 from portfolio disclosures reviewed by The Economic Times.
How the $576 million figure is derived
The Schiehallion Fund pegged the fair value of its 1.3% holding in VerSe at $7.47 million as of 31 August 2026, implying the roughly $576 million total. The holding's value is down 27% since January and almost 80% over 19 months. Importantly, this is an investor's mark extrapolated from its own holding — not a fresh funding round or a new price-discovery event for the company.
The fund cited company-specific execution challenges and the repricing of comparable listed companies behind the markdowns.
What went wrong in the business
VerSe's operating revenue fell 40% to Rs 1,162 crore in FY26 from Rs 1,930 crore, while its net loss narrowed 28% to Rs 699 crore as expenses fell. The gaming ban hurt Dailyhunt's advertising business and slowed the growth of Valueleaf, its digital marketing arm. VerSe also lost livestreaming revenue after its Tango tie-up ended, while competition for regional-language viewers intensified.
VerSe, cofounded by Umang Bedi, runs news aggregator Dailyhunt and short-video app Josh. It last raised capital in April 2022, when an $805 million round set the $5 billion valuation that later marks are now measured against.
Why it matters for founders
A markdown is not a bankruptcy — but it is a warning about the gap between a 2021-era valuation and current revenue reality. When revenue falls 40% in a year, no investor mark can rescue the story; only a rebuilt revenue engine can. Founders should treat secondary marks as a signal to fix the business, not as a verdict to argue with.