City-based private equity fund Multiples Alternate Asset Management has invested USD 30 million (around Rs 240 crore) in the consumer-focused fintech platform Niyo.
With this funding, the startup since its inception in 2015 has raised USD 165 million and the fintech will utilise the funds to expand product capabilities and increase customer base through organic and inorganic opportunities apart from bolstering the talent pool, the company said in a statement on Tuesday. In February, Niyo had raised USD 85 million in its series-C round led by Accel and Lightrock India.
Vinay Bagri, cofounder and chief executive of Niyo said the company hopes to leverage the deep expertise and relationships that Multiples brings to the financial services domain as it is looking to expand capabilities to build a highly-valuable consumer financial services platform. Virender Bisht, cofounder and chief technology officer of Niyo said with this funding the focus will be on improving the product suite to have more consumer-focused products like credit cards, remittances, loans etc.
On this investment Nithya Easwaran, a managing director at Multiples, said that Niyo offers superior economic value and a frictionless, highly engaging experience to customers. Niyo offers digital savings accounts and other banking services in partnership with banks and claims to have around 4 million customers across 80 per cent of the PIN codes and processes around USD 3 billion worth of transactions.
It also issues travel cards in partnership with SBM (State Bank of Mauritius) and DCB Bank for international remittances, apart from providing zero-balance prepaid cards for blue-collar workers in partnership with Yes Bank. Multiples has so far backed over 25 domestic businesses across financial services, pharma & healthcare, consumer and technology. Some of its investments include Vastu Housing Finance, Acko, Encube, Zenex, PVR, Delhivery, Dream Sports, Quantiphi, Licious, and Moengage. Avendus Capital was the exclusive financial advisor for the transaction.
