Kush Taneja, co-founder of fintech startup FamApp by Trio (formerly FamPay), is set to step away from day-to-day operations and exit the company entirely through a secondary stake sale, people familiar with the matter told Moneycontrol.
Taneja, who co-founded the company in 2019 alongside Sambhav Jain, has begun discussions to sell his shares through a secondary transaction, the sources said. Both existing and new investors are being considered as potential buyers.
While Jain is expected to stay on and continue leading the company, it is no clear if a new senior executive will be brought in to fill the leadership void created by Taneja’s departure.
Taneja and FamApp did not respond to Moneycontrol’s requests for comment.
The move comes as FamApp, launched as a teen-focused fintech offering parental controls and prepaid cards, has undergone a strategic overhaul over the past two years. The company has since repositioned itself as a mainstream payments platform targeting a broader user base and rebranded under the Tri O Tech umbrella earlier this year.
The pivot, however, was not entirely voluntary. FamApp was forced to rebuild its backend infrastructure in early 2023 after its earlier banking tie-up collapsed. The startup had relied on IDFC First Bank as a partner for issuing cards and powering wallet infrastructure. That arrangement came to an end when the underlying banking tech provider wound down its relevant programme, disrupting services for thousands of FamApp users overnight.
To stay afloat, FamApp migrated its stack to a previously acquired entity, Tri O Tech, which held a prepaid instrument (PPI) licence. The move reportedly helped restore basic wallet services but also triggered user confusion, service disruptions, and rising operational costs.
The rebuild involved re-doing user KYC, issuing new cards and launching a new platform under Tri O Tech's licence — a costly and time-consuming process that weighed on investor confidence.
The company’s pivot did not come without internal churn either. Moneycontrol reported in 2023 that FamApp undertook a round of layoffs as it restructured its teams to align with the new strategy. Several key product and growth roles were impacted in the process.
Despite the restructuring, FamApp has continued to grow its presence in India’s fast-expanding UPI ecosystem. According to NPCI data, the app processed 110.38 million UPI transactions in April, making it the eighth-largest UPI app in the country by volume.
The startup last raised capital in 2022, securing $38 million in a Series A round led by Elevation Capital, Peak XV Partners (then Sequoia Capital India), and Y Combinator. Other investors include General Catalyst, Rocketship VC, and Greenoaks Capital. The company has raised $42 million since inception, according to market intelligence platform Tracxn.
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