The fintech sector has grown exponentially as people have gone online to conduct financial transactions. (You can thank the pandemic for the unprecedented shift). Subsequently, this has been a boon for fintech startups and the fintech market in India, which is slated to reach nearly ₹8.35 trillion by 2026. Fintech startups have been popping up by the dozens – the last five years alone have accounted for more than 67% of the 2100+ fintech startups in the country.
With capital flowing in at a steadily rate (investments worth more than $8 billion were received by fintechs last year), it is safe to say that India is today one of the fastest-growing fintech markets in the world. This has benefitted Indian fintechs such as FPL Technologies, which has today announced a $75 million fundraise as part of its Series C funding round.
The round was led by QED Investors, and included participation from GIC Singapore, Janchor, Sequoia Capital India, Matrix Partners India and Hummingbird Ventures. This also comes barely a year after it had raised $35 million in its Series B funding round through Matrix and others.
The Pune-based fintech startup has raised nearly $125 million to date. The young fintech is now valued at $750 million. The $1 billion mark is now within sight, and should it reach the milestone, it will be among the first few Indian startups to turn into unicorns this year.
The proceeds from the round will be utilized towards doubling its team strength, hiring across marketing and engineering functions, clocking expansion, expanding its customer base, and scaling up its products.
Founded by Anurag Sinha, Rupesh Kumar, and Vibhav Hathi, FPL Technologies has an aim to “re-imagine credit and payments from first principles.” Unlike its rivals, FPL Technologies works directly with banks such as Federal Bank, SIB, SBM and BFSL in order to issue cards and disburse credit, instead of NBFCs (Non-Banking Financial Companies).
Its first offering was OneScore, which offers free credit score checks and personalised insights with which customers can monitor and manage their credit health. The platform has already amassed over 10 million registered users.
The first year of the pandemic saw FPL Technologies roll out its virtual and physical credit card, OneCard. The company claims that it is the country’s first exclusive mobile-first, metal credit card, and helps customers easily transact, swipe-to-pay, make easy in-app repayments, lock the card, and others.
The card is being rolled out in partnership with banks, and is suitable for individuals who are new to credit cards. Nearly 2,50,000 customers use OneCard, according to the company.
“The growing customer inclination towards digital and contactless payments in our country has presented a promising opportunity to introduce mobile-first credit consumption products. But alongside that comes the responsibility of educating these customers and making them a credit aware community too. The young digital-savvy customer is increasingly seeking simple, seamless, smooth yet heightened experiences in their lives and this is exactly what we offer through our products,” said Anurag Sinha, co-founder & CEO, FPL Technologies.