Credit-card based fintech firm FPL Technologies, which operates credit score platform One Score and issues credit cards under the One Card brand, has received approval from its board to raise Rs 802.49 crore (about $100.5 million) in fresh funding, regulatory documents filed with the Ministry of Corporate Affairs
The funding is expected to value FPL Tech at around $1.4 billion, people aware of the fundraising talks told ET on condition of anonymity.
This is almost double the valuation of $750 million when it last raised $75 million as part of its Series C funding round in January.
In an extraordinary general meeting held on July 11, the company’s board passed a resolution to issue 10 equity shares and 2,68,891 cumulative, non-redeemable, mandatory and fully convertible Series D preference shares, each at a premium of Rs 29,813.62 per share.
The final round is expected to close later this month, the sources said.
Singapore Temasek, through Mariachi Investments, is leading the round and has invested around Rs 375 crore ($46.9 million) in the company, according to the filings.
Existing investors Sequoia Capital, Matrix Partners, Hummingbird Ventures, and QED Investors also participated in the funding round.
News website Entrackr was the first to report the development on Wednesday.
The Reserve Bank of India (RBI) has been looking to actively regulate the space and released issuance and conduct directions for debit, credit and co-branded cards in April.
Founded in 2019, FPL Technologies operates a digital credit score platform, One Score, and has a total of 10 million registered users utilizing the solution. Its key offering includes a physical and virtual credit card, One Card, which it issues in partnership with banks.
It launched One Card in June 2020.
The startup has partnered with Federal Bank, South Indian Bank, SBM India as well as IDF Bank and is looking to add four banking partners in the coming months.
As of January, FPL Technologies had 250,000 One Card customers, and was facilitating close to Rs 450 crore in spends monthly across its user base. It had plans to scale issuance to one million cards by October.
Unlike several other ‘buy now pay later’ (BNPL) card issuers such as Uni, Slice and Lazy Pay, FPL Technologies works directly with banks to issue these cards and disburse co-branded credit cards, instead of working with non-banking financial companies NBFC
The collapse of the terraced stablecoin and its sister token Luna in May set off a chain of events that halved the price of bitcoin in a matter of weeks and caused a handful of crypto companies to either freeze withdrawals or file for bankruptcy.
Almost overnight, for millions of investors, crypto turned to kryptonite.
Now, a cryptocurrency exchange that went bankrupt eight years ago could be about to make the 2022 crypto winter much, much worse -- or not. We'll know soon, either way.
But on February 28, 2014, Mt Go officially filed for bankruptcy after hackers stole 850,000 bitcoin – worth around $500 million at the time and about $17 billion at the current price – from the platform. Of these, 100,000 belonged to Mt Go itself and 750,000 to its customers
Ghost of crypto past
In 2018, after a barrage of lawsuits, the defunct crypto exchange approved a plan to repay its customers. It would be another three years before this plan was finalized
Then on July 6 - 2022 attorney Nunki Kobayashi, the appointed trustee in the Mt Go rehabilitation process, confirmed he was "preparing to make repayments" to account holders, which could begin as early as August.
You must be logged in to post a comment.