Nubank co-leads $ 45 million investment in Indian neobank Jupiter – TechCrunch
Industry veteran Jitendra Gupta’s neobank for consumers in India – Jupiter – has raised $ 45 million in a new round of funding as the Bangalore and Mumbai-based startup prepares for the public launch of its platform. form in about a month.
The new funding round, a Series B, was co-led by Brazil-based Nubank, Global Founders Capital, Sequoia Capital and Matrix Partners India. Mirae Assets Venture also joined the round and existing investors including Addition Ventures, Tanglin VC, 3one4 Capital, Greyhound and Beenext also participated.
The new round values ââthe two-year-old Indian startup, which has raised $ 70 million to date, to more than $ 300 million.
Jupiter built a neobank for consumers in India. The startup, which launched its eponymous platform in beta in June, is trying to bring “pleasure” to the banking experience.
âWe believe that a bank account should be a smart account, where it gives you insight, shares personalized advice and guides you towards achieving some financial discipline,â said Gupta – who co-founded CitrusPay (sold to Naspers’ PayU ) and served as the Managing Director of PayU – in a recent interview with TechCrunch.
The startup has developed a number of products, including a savings account with features to simplify money management.
The platform, which positions itself as a ‘100% digital bank’, also offers the ability to buy now and pay later on UPI, a standard developed by a coalition of banks in India that has become the most common way. popular to do transactions in the country. in line.
âNubank and Jupiter share a mission to make banking the best possible experience for our customers, putting an end to all the bureaucracy and pain in the current system. The Indian and Brazilian markets have many similarities and through this investment, we aim to support Jupiter in its growth trajectory. We see a lot of potential and are delighted to join them so early in their journey, âsaid David VÃ©lez, Founder and CEO of Nubank, in a statement. The Brazilian giant raised $ 750 million in June this year for a valuation of $ 30 billion.)
In an interaction Thursday, Gupta said the startup, which employs more than 120 people, is currently working to onboard the 100,000 people who have signed up on its waiting list. In about a month, he said, Jupiter will launch to the public.
Dozens of startups in India are trying to improve the banking experience in India today. Whether you’re a teenager, just graduated from college, working like a professional, or don’t have a credit score, there are companies that can get you a credit card and a loan. But even these services have a certain ceiling limit.
âIf you really want to change the banking industry, you can’t operate on the side. You have to fight from the center, where they deposit their money. It’s a very time consuming process that requires a lot of upfront capital and experience with banks, âGupta said.
Dozens of investors have been in talks with Gupta in recent quarters to invest in the cycle, according to several people familiar with the matter. Gupta said earlier that he is not looking to raise a ton of capital for his new business.
âNeobanks like Jupiter are exactly what India needs: someone who can deliver simple, extensive, high-quality digital banking services cost effectively,â said Ashish Dave, Managing Director of the Indian business. of Mirae Asset Venture Investments.
âThink of a customer experience so good it feels like it’s putting premium banking services at the disposal of those who dread branch visits and long wait times. The bank must meet customers where they are and serve them in the most intuitive way possible. Jiten and his stellar tech team built just that, in addition to the existing banking stack, âhe added.