Exclusive: Wealthtech firm Neo to raise $19 Mn at 2.7X valuation surge

Consumer facing wealth and asset management firm Neo is in final stages to raise Rs 162 crore (approximately $19 million) through equity shares, led by VT Capital and with participation from 17 other investors.

The board of Neo has passed a special resolution to issue 1,887 equity shares at Rs 8,60,410 each, to raise Rs 162.3 crore ($19 million), according to its regulatory filing sourced from the Registrar of Companies (RoC).

VT Capital will lead the round with Rs 50 crore, while individual investor Ramesh Kunhikannan will contribute Rs 20 crore. Sattva Family Office, Biological E Ltd, Usha Reddy Chigarapalli, and Akshat Greentech Private Limited will invest Rs 10 crore each in the round.

VT Capital is a Mumbai-based proprietary trading platform that has also invested in startups such as hygiene products maker Noble, beauty and personal care platform Purplle, and AI firm Fractal Analytics.

According to Entrackr’s estimates, the company would be valued at around $686 million post-money. This seems to be over a 2.7X jump in the valuation, compared to its last round when it was valued at $250 million. 

Before this, Neo raised $120 million, including a $48 million round in August 2024 and $35 million Series B funding in October 2023.

Mumbai-based Neo helps wealthy individuals and family offices invest their money. It focuses on credit and real estate, and also runs funds that give companies capital while aiming for safe returns for investors. It claims to manage nearly Rs 35,000 crore in wealth management assets and over Rs 6,000 crore in alternative asset management.

According to the filings, before the round, Peak XV was the largest external stakeholder with 19.29%, followed by Crystal Investment Advisors LLP (Artha Group) at 6.74%. Among co-founders, Nitin Jain held 30.09%, Varun Bajpai 15.04%, and Hemant Daga 4.51%.

Earlier this year, Neo Assets marked its first close of its second private credit fund at Rs 2,000 crore. The fund is registered with SEBI and provides credit solutions to unlisted companies and acquires their secondary stakes.

The company is yet to file its annual results for FY25. During the fiscal year ended March 2024, it reported a 2.4X year-on-year increase in its revenue to Rs 149 crore, while the losses grew to Rs 13.7 crore in the same period.