Mintoak, a software-as-a-service (SaaS) platform focused on merchant services, has raised $20 million in a Series A funding round led by PayPal Ventures with participation from British International Investment, HDFC Bank, Pravega Ventures, and White Whale Venture Fund.
Recently, HDFC Bank acquired a minority stake in the Mumbai-based fintech startup Mintoak for a cash consideration of $3.7 million. In the current round, HDFC has increased its stake to 7.75% from the current 5.20%. Previously, it had raised $2 million in a pre-Series A round led by Pravega Ventures in May 2020.
Mintoak plans to deploy the capital to ramp up its tech stack and double down on the existing product portfolio, the company said in a press release. It will also focus on strengthening its existing presence in India while expanding into new markets including the Middle East, Africa, and Southeast Asia.
Mintoak is a technology platform that powers omnichannel payments, real-time analytics for business owners, SME commerce enablement solutions, and access to capital. Banks partner with Mintoak to provide small businesses with cutting-edge solutions and efficient tools to manage and grow their businesses.
Founded by Raman Khanduja, Rama Tadepalli, and Sanjay Nazareth, the company’s product suite has a range of SaaS offerings that help banks and merchant acquirers to connect with their small and medium enterprise (SME) customers and drive cross-sell of financial products.
The six-year-old firm claims to serve over 1.5 million merchants across leading banks including HDFC Bank, SBI, and YES Bank in India and international markets such as Africa and the Middle East.
For the fiscal year ended on March 31, 2022 (FY22), Mintoak reported a turnover of (operating income) Rs 11.28 crore with a profit after tax of Rs 1.47 crore. In the previous two fiscal years, its revenue stood at Rs 1.76 crore and Rs 0.60 crore respectively.
