Groww has tripled its valuation to $ 3 billion in just six months, as Indian fintech startup seeks to expand its offering and help more millennials begin their investment journeys in the world’s second largest internet marketplace. .
Iconiq Growth led the Bangalore-based startup’s $ 251 million Series E funding round. Alkeon, Lone Pine Capital and Steadfast as well as existing investors Sequoia Capital India, Ribbit Capital, YC Continuity, Tiger Global and Propel Venture Partners have âsignificantlyâ participated in the new round.
Groww, which has raised over $ 390 million to date, was valued at $ 250 million in September last year and $ 1 billion in April of this year.
TechCrunch reported last month that Groww was in talks to finalize a $ 250 million round at a $ 3 billion valuation. The startup had multiple termsheets, the report adds.
Groww helps millennials invest in mutual funds, futures, derivatives, stocks, and initial public offerings. Lalit Keshre, co-founder and CEO of Groww, told TechCrunch in an interview that the startup is working to introduce several other asset classes that its users could invest in. âWe plan to offer them all asset classes forward,â he said.
âWe are making a difference in the lives of millions of Indians by democratizing access. And it looks like the journey is just beginning with a huge opportunity ahead of us, âhe said.
Groww taps into a huge market. Over 200 million people in India transact money digitally, but less than 30 million currently invest in mutual funds and stocks. The startup had more than 15 million registered users earlier this year, two-thirds of whom are first-time investors. In addition, over 60% of Groww users are located in smaller towns and villages in India.
The startup did not update its user base figure today, but Keshre said Groww has grown significantly over the past 18 months as more Indians start exploring for investments. .
âThe financial services market in India is already large, growing rapidly and ready to be disrupted. Over the past two years, Groww has demonstrated its readiness to seize this opportunity through strong acceleration based on the strength of technology, âsaid Yoonkee Sull, partner at ICONIQ Growth, in a statement.
âDriven by an exceptional product-focused team, Groww is already a leading investment platform in India, featuring a unity economy and strong client cohorts. We are excited to be a part of the company’s vision to be the premier financial platform for Indian consumers.
Keshre said the startup will deploy the new capital for its long-term growth and educate early investors.
TechCrunch reported earlier that Groww, like a handful of other Indian startups, is studying cryptocurrency. Keshre said the startup would not offer such an investment opportunity to users until the Indian regulator clears it. The Indian startup is currently on track to reach around $ 35 million in ARR, the publication reported.