Bengaluru-based Rupeek plans to raise $50 million at a flat valuation
Rupeek, a platform for online gold loans, appears to be on the verge of raising new funds from existing investors. The Bengaluru-based startup is in late-stage talks to raise more funding worth $50 million in an extended Series-E deal.
Existing investors Lightbox, Sequoia, Bertelsmann, Vostok Emerging Finance, GGV, HighSage Ventures, Kae Capital, and 9Unicorns are likely to put in $50 million along with the participation of some new investors. The new round is mostly backed by internal investors at a flat value, which means it is the same as the previous round.
Queries submitted to Rupeek, Lightbox, Accel, and Sequoia received no quick response. Rupeek laid off 200 staff in June to decrease costs and lengthen its runway. Rupeek is yet to release financial figures for FY22, however its operating revenue increased 3.1X to Rs 63 crore in FY21.
According to reports, the expanded round for Rupeek is critical because the company did not raise a substantial round in its previous fundraising. In January of this year, the company raised $34 million led by Lightbox at a valuation of $634 million.
Binny Bansal’s firm has raised about $140 million to date. Rupeek offers gold collateral loans with interest rates ranging from 5.88 percent to 21.48 percent. The six-year-old company claims to have over five lakh customers spread over 30 cities in India. It competes directly with Indiagold, which is supported by PayU, and Oro, which is backed by Binny Bansal. The firm ventured into quick, MSME, and Mudra loans.
Sumit Maniyar and Ashwin Soni founded a fintech firm in the gold loan market in 2015. It uses technology to operate in a branchless model, passing on the savings in operational costs to the end client.
Rupeek is by all accounts an inspiring startup with spurring development on financial services platform. I’m certain this startup would keep on flourishing in its excursion ahead. All the best to the whole group. This will give them a colossal achievement in the future.Shishir Gupta, Founder and CEO, StartupLanes
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