More than 200 million people in India transact money digitally, but less than 30 million invest in mutual funds and stocks.
An Indian startup attempting to change the figure for a millennium on Wednesday announced a new financing round and turned into the latest unicorn in the world’s second-largest Internet market.
Bangalore-based Grove has raised $ 83 million in its Series D financing round, which was valued at more than $ 1 billion, up from $ 250 million in the 30 million Series C in September last year.
Tiger Global spearheaded the new phase, and was attended by existing investors Sequoia Capital India, Ribbit Capital, YC Continuity and Propel Venture Partners, said the five-year-old Indian startup, which has raised $ 142 million so far.
On a side note, Grow is ranked fourth this week and fourth this week for achieving the eighth Indian startup this year. Social commerce Meisho turned an economy on Monday, fintech firm CRED on Tuesday, and before epharmacy firm PharmEasy announced a new financing round, valued at around $ 1.5 billion.
Grove allows users to invest in mutual funds, including systematic investment plans (SIPs) and equity-linked savings, gold, as well as stocks, listed on US exchanges. The app offers every fund that is currently available in India.
The startup has more than 8 million registered users, two of which are first-time investors, Grove co-founder and CEO Lalit Keshare told ClearTips in an interview. Keshare and other former Flipkart executives – Harsh Jain, Neeraj Singh and Ishaan Bansal – co-founded the grove in 2017.
Keshare said the startup will deploy new funds to speed up its growth, and hire more talent. “Now we have fuel for long-term thinking and fast growth,” he said.
Keshre said that more than 60% of Groww users come from small cities and towns in India and 60% of them have never made such investment before. The startup said that it has conducted workshops in several small cities to educate people about the world of investment. The coronovirus epidemic has also accelerated the development of startups as youth explore new hobbies.
This is a developing story. More to follow…