The capital will be used to conduct fresh recruitment and expand YAP’s presence in international markets (Representative image)
YAP has raised $10 million in Series B funding co-led by Omidyar Network India and Flourish Ventures for an undisclosed valuation.
The round also included YAP’s existing investors 8i Ventures, Beenext, and Better Capital, The Economic Times reported.
The capital will be used to conduct fresh recruitment and expand YAP’s presence in international markets, the report added.
Moneycontrol could not independently verify the report.
YAP currently serves India, Australia, Nepal, New Zealand, the Philippines, and the United Arab Emirates (UAE). Co-Founder Madhusudanan R told the paper they plan to expand to Bangladesh, Egypt, Indonesia, Oman, Saudi Arabia, and Vietnam.
The company provides Application Programming Interface (API) for banks such as ICICI Bank, RBL Bank, and Yes Bank, startups, and consumer internet companies like Ola and Paisabazaar.
Madhusudanan added that they are “uniquely poised to cater to new cohort distributors” and this investment allows them to “strengthen technology teams, build new capabilities and reach new markets across Asia.”
Anuradha Ramachandran, investments director at Flourish Ventures told the paper the infusion in YAP is their first investment in India’s embedded finance infrastructure, adding: “YAP provides the rails on which fintech and incumbents can build new cases for the underserved segment while delivering financial services in a cost-effective way.”
Omidyar Network India director Amol Warange said they believe “digital enablers such as YAP can catalyse financial inclusion and drive usage of financial products across the next 500 million Indians expected to come online for the first time via their mobile phones.”
The funding comes as the coronavirus has pushed digital finance and made the sector “lucrative” for investors and is YAP’s second fundraising in less than a year after it got $4.5 billion in its Series A round in April 2020, the report noted.