Neobanking startup Niyo raises $30 million in a new funding round
- ByStartupStory | July 20, 2022
Niyo Solutions, a neobanking platform on Tuesday said it has raised $30 million in a new round of funding from Mumbai-based private equity firm, Multiples Alternate Asset Management.
Niyo plans to use the new funds to develop its product capabilities and extend its client base. It will also utilize the capital to expand its brand and strengthen its personnel across divisions. “Our focus is on improving product development and growing our product line to include more consumer-focused goods such as credit cards, remittances, and loans, among other things.” “Our expansion into new categories will allow us to capitalize on the market’s current tailwinds for digital financial goods,” Niyo CTO & cofounder Virender Bisht stated.
Vinay Bagri and Bisht created Niyo in 2015 to provide digital savings accounts as well as other financial services in collaboration with other institutions. It plans to spread its services to more than 16,000 pin codes across the country. Niyo raised $100 million from a group of investors in February, namely Accel, Lightrock India, Beams Fintech Fund, and JS Capital.
Niyo’s banking and wealth management products serve nearly 4 million customers. According to the firm, its site has over 10,000 new visitors every day. Niyo said in a statement that it has processed transactions totaling more than $3 billion to date. Niyo competes in the neo banking area alongside Open, Jupiter, Fi, and Zolve.
While Open became a unicorn in May of this year, Jupiter and Fi continue struggling to meet the RBI’s PPI standards. Zolve also received INR 300 Cr in funding last year from DST Global Partners, Tiger Global, Alkeon Capital, plus current backers Accel and Lightspeed Venture Partners. The Indian fintech sector is expected to reach $1.3 trillion by 2025. The neo banking sub-sector, which would be presently valued at $48 million, is expected to more than double to $97 million by 2025.
Follow Startup Story
Related Posts
