Exclusive: OneCard becomes unicorn with over $100 Mn Series D round

Mobile-first credit card startup OneCard has entered the coveted unicorn club with over $100 million in Series D round from existing and new investors. This is the second round of funding for the firm in the past seven months.

OneCard has passed a special resolution to allot 2,68,891 Series D CCPS at an issue price of Rs 29,833.62 per share to raise Rs 802.5 crore or over $100 million, according to the company's regulatory filings with RoC.

Entrackr had reported about this round with exact details on July 4.

Temasek (via MacRitchie Investments) spearheaded the new round with Rs 375 crore while Ocean View and QED Holdings participated with Rs 150  crore and Rs 154 crore respectively.

Sarv Investments, Hummingbird, Sequoia Capital and Matrix Partners also joined the fresh financing round with Rs 112.5 crore, Rs 1.87 crore, Rs 7.5 crore and Rs 1.88 crore respectively.

As per Fintrackr estimates, the company has been valued at around $1.3 billion post allotment of the Series D round. As of now, the company has raised around $325 million and it was valued at $720 million in the previous round.

OneCard has become the 104th unicorn of India and 19th in the ongoing calendar year (2022). The company also turned out to be the second unicorn in the credit card challenger space after Slice.

OneCard offers first-time credit card users a virtual, cellphone-based card to build a credit score. It also enables an equated monthly instalment (EMI) facility for purchases of Rs 3,000 and above. The company also runs a credit score tracking and credit management app called OneScore and has claimed nearly 70 million users.

OneCard’s Series D round has come at a time when the prospect of the buy now pay later (BNPL) platforms is uncertain due to the recent Reserve Bank of India (RBI) diktat that disallows prepaid payment instrument providers from offering non-bank credit lines. OneCard and its peers Slice, Uni and Fi are figuring out their next moves.

During FY19 and FY20, OneCard’s parent FPL Technology did not record any revenue from operations but it managed to post Rs 10.78 crore topline in FY21. Its losses soared 4.3X to Rs 33.15 crore in the fiscal year ending March 2021, as per its annual financial statement filed with RoC.