Juspay Technologies Pvt. Ltd, which operates a payments technology platform, has raised $21.6 million in a Series B financing round led by Swedish investor Vostok Emerging Finance (VEF).
VEF alone has invested $13 million in the technology firm, marking its first investment in the country. As part of the transaction, VEF has acquired a minority stake and board representation in the company.
The round was joined by Boston-based Wellington Management, alongside existing investors, Accel, per a statement on Tuesday.
“This funding will help us invest in cutting edge R&D, to deepen our market presence in India and also take our inventions to the rest of the world,” Juspay founder and CEO, Vimal Kumar said.
“The next 10 years will see an exponential growth in digital transactions as software is eating the world, radically changing our everyday lives. The fin-tech infrastructure needs an overhaul and India is leading the way here with next-gen protocols like UPI, mandatory 2FA and measures to drastically reduce the cost of a transaction.”
Founded by Kumar and Ramanathan RV in 2012, Juspay is focused on creating a unifying layer of products and value-added services to improve conversion rates for merchants and other stakeholders in the payments value chain.
The company claims to have seen more than 200 million downloads of its software development kit (SDK), and that it has facilitated more than $10 billion of annualised payment volume for some of India’s largest merchants including Amazon, Flipkart, Uber, Swiggy, Ola and Cred.
“The public payment infrastructure in India is unlike any we have encountered globally and is fast becoming a benchmark for other emerging countries. As is typical at VEF, we have been tracking the team and progress for a long time before making this, our first investment into India. We see huge growth potential in the business driven by the first principle innovation that is part of Juspay’s DNA and the general digitisation of the Indian economy,” Vostok Emerging Finance Investment Partner, Alexis Koumoudos said.