Greater than 200 million folks in India transact cash digitally, however fewer than 30 million spend money on mutual funds and shares.
An Indian startup that’s making an attempt to vary this determine by courting millennials introduced a brand new financing spherical on Wednesday and became the most recent unicorn on the planet’s second largest web market.
Bangalore-based Groww has raised $83 million in its Sequence D financing spherical, which valued the Indian startup at greater than $1 billion, up from $250 million in $30 million Series C in September last year.
Tiger World led the brand new spherical, and current buyers Sequoia Capital India, Ribbit Capital, YC Continuity and Propel Enterprise Companions participated in it, the four-year-old Indian startup mentioned, which has raised $142 million up to now.
On a facet observe, Groww is the eighth Indian startup to achieve the unicorn standing this 12 months — and fourth this week. Social commerce Meesho turned a unicorn on Monday, fintech agency CRED on Tuesday, and earlier at this time epharmacy agency PharmEasy introduced a brand new financing spherical that valued the agency at about $1.5 billion.
Groww permits customers to spend money on mutual funds, together with systematic funding planning (SIP) and equity-linked financial savings, gold, in addition to shares, together with these listed at U.S. exchanges. The app affords each fund that’s presently out there in India.
The startup has amassed over 8 million registered customers, two-thirds of whom are first-time buyers, Lalit Keshre, co-founder and chief government of Groww, informed TechCrunch in an interview. Keshre and different former Flipkart executives — Harsh Jain, Neeraj Singh and Ishan Bansal — co-founded Groww in 2017.
Keshre mentioned the startup will deploy the contemporary funds to speed up its development, and rent extra expertise. “We now have gasoline for longer-term pondering and quicker development,” he mentioned.
Greater than 60% of Groww customers come from smaller cities and cities of India and 60% of those have by no means made such investments earlier than, mentioned Keshre. The startup mentioned it has carried out workshops in a number of small cities to coach folks in regards to the funding world.
The coronavirus pandemic has additionally accelerated the startup’s development as children discover new hobbies. The startup competes with a handful of companies together with Zerodha, Paytm Cash, Upstox, and ET Cash and conventional companies.
It is a growing story. Extra to observe…