Money management and investment platform INDmoney has raised $86 million in a Series D round led by Tiger Global, Steadview Capital, Dragoneer with the startup’s founder and CEO Ashish Kashyap too investing further in his personal capacity.
In an exclusive conversation with Moneycontrol, Kashyap confirmed the round and said that INDmoney’s valuation now stands at $635 million, a jump of over three times from $180 million during the previous round. The round will also see participation from new investors, however, Kashyap refrained from revealing the names at this point.
With this round, the startup has joined the long list of soonicorns, i.e. privately funded startups that will soon reach the $1 billion valuation and will be deemed as unicorns. INDmoney’s valuation jump reflects the buoyant funding environment the startup ecosystem has witnessed over the past year, with fintechs raking in a fair share of the funds.
“$75 million of the total $86 million has been closed. We will be closing the paperwork for the balance amount shortly,” Kashyap said.
Kashyap had previously founded travel platform Goibibo, before starting up INDmoney in 2019. The startup helps customers invest in US and Indian stocks, besides mutual funds, bonds and fixed deposits. The US stocks and fixed deposit are part of INDmoney’s neobank plans where the startup is looking to expand further.
The startup has also gone live with its insurance offering and will soon be launching a credit card product. With that, INDmoney will join the likes of Slice, Uni, OneCard, Indiabulls Dhani, PayU’s LazyPay, which are offering credit-related card products in tie-ups with banks and non-banking financial companies (NBFCs).
Kashyap said, “We already aggregate our customers’ credit cards and investments, so we are at the right place to offer a credit product. Besides that, we are also looking at managing finances at a family unit level, i.e. family accounts, joint accounts etc.”
Post this round of financing, INDmoney’s total capital raise stands at $133 million. The number of registered users on the platform have gone up from 1.5 million in August 2021 to 3.5 million now. The next aim is to reach 10 million registered users which Kashyap expects to achieve within 2022.
“Customer acquisition is usually the biggest investment, but for us, that has happened through referrals and word of mouth. So we have funds lying from our previous rounds as well. Post this round, we will have around $130 million in the bank,” he added.
INDmoney, like other fintechs, has gained from the acceleration of digital financial services under the pandemic as more Indians turned to digital platforms to invest, borrow and manage their money.
In an interview with Moneycontrol in August 2021, Kashyap had said that the biggest challenge for startups is onboarding and retaining tech talent.
“I think the biggest challenge is that we need more talent supply in tech, and then onboarding talent remotely. We could execute plans 10 times faster with more talent,” he had said.
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