Fintech Startup Open Raises Series D Funding, Becomes India’s 100th Unicorn
Open, an SME-focused neobanking platform, has raised $50 million in its Series D funding round from IIFL, along with existing investors Temasek Holdings, Tiger Global Management, and 3one4 Capital. With this funding, Open has joined the coveted unicorn club, making it India’s 100th unicorn.
The fintech unicorn plans to use the funds to accelerate its existing product lines, Zwitch (embedded finance platform) and BankingStack (enterprise banking solution for banks), to drive global expansion. Additionally, the fintech platform will also use the capital to strengthen its leadership team and increase its employee base from 500 to 1000 within the year.
Union Minister for Commerce and Industry Piyush Goyal tweeted about the country’s 100th unicorn and said:
Open | SME-Focused Neobanking Platform
Founded in 2017, Open has built Asia’s first neobanking platform focused on SMEs, startups and freelancers. The fintech platform is on a mission to deliver a truly seamless business banking experience and make managing finances a breeze.
Speaking about the development, Anish Achuthan, Co-founder and CEO of Open, said,
“We are excited to partner with IIFL and existing investors Tiger Global, Temasek, and 3one4 Capital for our Series D round. We see a lot of synergies with IIFL, especially on leveraging the lending book, as we are getting ready to launch innovative products like revenue-based financing, early settlement, working capital loan, and business credit cards to SMEs on our platform.”
In the last 12 months, the startup has increased its customer base to 2.3 million customers. It now plans to reach over five million customers within the next year.
The fintech unicorn is also gearing up for the launch of three new products-Open Flo, Open Settl and Open Capital, that will enhance the capital needs of SMEs besides its existing SME credit card offerings.
At present, the fintech startup is targeting to disburse $1 billion in lending through the new suite of products on the platform in the next 12 months.
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