Niyo, a consumer neo-banking platform, has raised $100 million in a Series C round led by Accel and Lightrock India, with Beams Fintech Fund participating. This round also included existing investors Prime Venture Partners and JS Capital.
The new funds come after a more than 30-month wait for the Bengaluru-based company, which raised $35 million in a Series B round in July 2019 from Horizons Ventures, Tencent, and others.
According to a press release from Niyo, the funds will be used for product innovation, marketing and branding, expanding its distribution footprint, and hiring top talent across functions.
Niyo, a seven-year-old startup, works with banks to provide digital savings accounts and other banking services. The company claims to have over 4 million customers across its banking and wealth management products, with over 10,000 new users joining the platform every day. Niyo has sales offices in over 20 states and currently serves over 7,000 businesses.
Niyo, which was founded by Vinay Bagri and Virender Bisht, has launched a digital salary account this month and is working on launching personal loans, credit cards, integrated forex, and other banking products.
In the past, the company has made a few acquisitions, including Index, a personal finance startup based in Bengaluru, in June 2021, and Goalwise, a personal finance startup based in Bangalore, in July 2020.
Even after seven years of operations, Niyo has not been able to scale its business in terms of revenue. For the fiscal year ending on March 31, 2021, the company’s operating revenue dwindled 4% to Rs 24.30 crore which stood at Rs 25.32 crore in FY20.
