KSUM-backed Fintech Startup Raises Rs. 250 crore
Kochi: Open Financial Technologies, a fintech startup that was part of the ‘Fund-of-Funds’ scheme of the Kerala Startup Mission (KSUM) has raised Rs. 250 crore from global venture capital funds – Tiger Global Management, Speedinvest and Beenext.
In the ‘Fund-of-Funds’ scheme, private funds are invited to be part of the ecosystem by investing in the startups wherein KSUM will be a limited partner for the funds.
A neo-banking platform for SMEs, Open was founded by Anish Achuthan, Mabel Chacko, Deena Jacob and Ajeesh Achuthan in 2017. The funding, raised in two rounds over the last three months, has taken the company’s valuation to Rs. 1000 crore. The Series B round, led by Tiger Global Management, saw the funds being set aside for scaling, launching more products and value-added services. “Open is one of the first companies KSUM has invested at a very early stage through our Fund-of-Funds programme. We are happy to see that this small support has enabled the company to accelerate fast and with new infusion of funds and expertise we expect it to scale further heights in near future,” said Dr. Saji Gopinath, CEO, KSUM, commenting on the startup’s achievement.
The other investors in the company include Tanglin Venture Partners Advisors, 3one4 Capital and Better Capital’s AngelList Syndicate. Core operation of the company involves solving business banking challenges faced by SMEs and startups. It offers business banking accounts in partnership with banks which help businesses automate and run their finances effectively.
“Being one of the fastest growing SME neo-banking platforms in the world, the key is to match the ever-increasing customer demand for seamless financial management,” Anish added.
Open is also planning to launch new financial products in a bid to find a dominant spot in the market. “This funding will help us launch new products like the Open+ card and Layer that will enhance our value proposition for small businesses,” said Anish.
Open+ is a business credit card for startups, and Layer is a bank account targeting at developers. It allows the account to be programmed by developers through the API banking suite.