Fintech Startup OneCard Secures INR 71.4 Cr in Latest Funding Round

• ByStartupStory     |    November 25, 2024

Fintech startup OneCard has raised INR 71.4 Cr ($8.5 Mn) as part of a larger funding round, where the company aims to secure a total of INR 239.4 Cr ($28.4 Mn). The funding details were disclosed through the startup’s regulatory filings with the Ministry of Corporate Affairs (MCA).

The Pune-based startup plans to raise the fresh capital by issuing 72,048 Series D2 compulsory convertible preference shares (CCPS). Leading the funding round are US-based venture capital firm Better Tomorrow (BTV) Capital, Peak XV, and Z47 (formerly Matrix Partners). During a board meeting held on November 18, the company’s directors approved the issuance of these shares at a face value of INR 30 and a premium of INR 33,198.35.

So far, OneCard has secured INR 42 Cr from BTV, INR 8.4 Cr from Peak XV, and INR 20.9 Cr from Z47.

The funding round follows a substantial infusion by venture debt fund Alteria Capital earlier this year. In January, Alteria Capital invested INR 120 Cr ($14.4 Mn) into OneCard, alongside an earlier debt funding of INR 95 Cr ($11.44 Mn) in the same month.

The fresh capital will be directed towards enhancing business operations and scaling up customer experiences. The startup plans to develop innovative products, incorporate additional features, and offer personalized solutions.

Founded in 2018 by Anurag Sinha, Rupesh Kumar, and Vibhav Hathi, OneCard provides co-branded credit cards in partnership with banks such as Federal Bank and Bank of Baroda Financial. Additionally, the platform offers credit card-related services, including credit score checks and an expense management app.

OneCard has demonstrated significant growth in revenue but faces mounting losses. For the financial year ending March 31, 2023 (FY23), the startup reported a sixfold increase in operating revenue, reaching INR 541.1 Cr compared to INR 83.7 Cr in FY22. However, its net losses more than doubled to INR 405.6 Cr in FY23 from INR 182.7 Cr in the previous fiscal year.

OneCard’s journey has been marked by several key milestones, including entering the unicorn club in July 2022 after securing $100 Mn from Temasek. To date, the startup has raised a total of $111.41 Mn from marquee investors such as Peak XV Partners, QED Holdings, and Hummingbird.

Operating in a competitive market, OneCard faces rivals like Slice, Karbon Card, Uni Card, and Kodo Card. Despite the competition, OneCard continues to build its presence in the fintech ecosystem through innovative offerings and strategic partnerships.

As OneCard raises funds to fuel its growth, the company remains focused on advancing customer-centric solutions and strengthening its position in the credit card segment. With the support of its investors, OneCard aims to redefine credit card experiences for its users.

Follow Startup Story