Neo-banking startup Niyo has received Rs 44.9 crore from its US-based parent entity, Niyo Solutions Inc.
The Bengaluru-based company has allotted 154,820 equity shares at an issue price of Rs 2900 per share to its parent entity to receive the amount, shows regulatory filings.
In its last external round, Niyo had secured a $35 million worth Series B funding round in July 2019 from Tencent, Horizons Ventures, and JS Capital. The company has raised $45 million in total risk capital to date.
Fintrackr’s calculation estimates that Niyo has reached an enterprise valuation of about Rs 1020 crore (post-money).
Founded in 2015 by Vinay Bagri and Virender Bisht, Niyo provides co-branded products in partnership with banks to blue-collar workers, international travelers, and millennials.
The platform has tie-ups with Yes Bank, IDFC First Bank, and DCB Bank to provide bank account services. It provides a limited amount of free withdrawals from ATMs after which users are charged for cash withdrawals.
So far, it claims to have a customer base of 1.1 million users in India and over 1 lakh users in 160 other countries with 9,000+ corporates.
It is worth noting that the latest development for Niyo comes at a time when Covid-19 has led to a significant increase in the demand for digital banking services.
The company had recently acquired Goalwise, a mutual funds investment platform, and during the ongoing crisis, it also announced to offer 10-12% salary hikes, bonuses, and ESOPs taking the total stock grants to over Rs 100 crore for all eligible employees.
