Fintech firm BharatPe has raised $108 million in a Series D equity round led by existing investor Coatue Management, at a valuation of $900 million, the company said in a statement on February 11.
Besides Coatue, all the other existing institutional investors, including Ribbit Capital, Insight Partners, Steadview Capital, Beenext, Amplo and Sequoia Capital, participated in the round as well.
"The team is committed to making money for all stakeholders—investors, lenders, borrowers, employees and banks. With the balance sheet well capitalised (more than $200 million in the bank), we are now going to keep our heads down and deliver $30 billion TPV (total payment volume) and build a loan book of 700 million with small merchants by March 2023,” BharatPe co-founder and CEO Ashneer Grover said.
The valuation of $900 million has earned it the tag of a soonicorn, a company that is soon expected to be a unicorn, which in the industry parlance refers to a company valued at a $1 billion or more.
While $90 million has been raised as a primary, the round has also ensured secondary exit for its angel investors and employees with the rest of $18 million. With this round, the company has raised a total of $268 million in equity and debt till date.
The company claims to have grown 5x overall with the lending business growing 10x in the last 12 months.
"This growth reiterates the trust that the small merchants and kirana store owners have shown in us. This is just the beginning of our journey and we are committed to building India’s largest B2B financial services company that can serve as a one-stop destination for small merchants," said Grover.
In January, the company announced raising $ 35 million in debt from Alteria Capital, InnoVen Capital and Trifecta Capital.
BharatPe lends money to merchants and claims to be facilitating over Rs 200 crore of loans to its partners every month through NBFC it has ties up with.
The company has also deployed more than 50,000 PoS machines and enables transactions of more than Rs 900 crore per month on these machines.
Founded in 2018 by Grover, a former Grofer's CFO, and first-time entrepreneur Shashvat Nakrani, the company says its is serving 60 lakh merchants across 75 cities.