Banking Tech Startup Zeta Raises $250 Million In Series C Funding, Joins Unicorn Club
Zeta, a banking tech startup, has raised $250 million in a Series C funding round from Softbank Vision Fund 2 at a valuation of $1.45 billion.
With this round, Zeta has marked its entry to the coveted unicorn club.
France-headquartered food service company Sodexo also participated as an additional minority investor in the round, with Avendus Capital acting as the financial advisor.
As per the startup, it plans to use the funds for scaling growth in Europe, United States, and India. Zeta is expected to expand the team, platform, and operations to meet the rising demand.
Founded by Bhavin Turakhia and Ramki Gaddipati in 2015, Zeta provides a full-stack, cloud-native, API first neo-banking platform including a digital core and a payment engine for issuance of credit, debit and prepaid products, enabling legacy banks and new-age fintech institutions to launch modern retail and corporate fintech products.
Speaking about Zeta, Bhavin Turakhia, Co-founder of Zeta, said,
“Most banks are using decades-old software, built when mainframes and Cobol were in vogue. They have been slow to innovate and provide poor user experiences. With Zeta, FIs (financial institutions) can leverage a modern, cloud-native platform and improve speed to market, agility, cost-to-income ratio and user experience.”
Zeta has over 900 employees and clocks over 1 million transactions per day. As per the startup, is products are used by banks like RBL Bank, IDFC First Bank, HDFC Bank, and Kotak Mahindra Bank, 14000 corporates and over 2 million users.
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