The online investment platform Upstox has raised $25 million from existing investor Tiger Global.
Tiger Global is an existing investor in Upstox
The month of November has already witnessed five startups becoming unicorns with two more entering the coveted club this week. Now, a sixth company has turned into a unicorn: Upstox. Existing investor Tiger Global has contributed $25 million to the online investing platform. The new funding looks to be part of a larger round for the company.
According to regulatory documents, Upstox has approved the offering of 18761 Series C preference shares at an issue price of Rs 98,608 in order to raise Rs 185 crore or $25 million from Tiger Global.
According to reports, Upstox raised the new funds at a valuation of $3.4 billion (Rs 25,458 crore) (post-money). When compared to the Series B share price of Rs 3,514 per share, the price per share has increased 28X.
Upstox’s valuation now exceeds that of its nearest competitor Groww, which was recently valued at $3 billion following a $251 million fundraising round in October. It is also the 40th startup in 2021 to be valued at more than $1 billion.
Tiger Global is already a Upstox investor, having contributed $25 million to the company’s second institutional round in September 2019. Upstox allows regular investors to trade in the equities market via the platform, as well as invest in mutual funds and trade futures and options.
While Upstox is yet to file its annual financial statements for FY21, it increased its yearly revenue by 99.6 percent to about Rs 154.7 crore in FY20. Upstox had made a post-tax profit of Rs 13.06 crore in FY19, but due to cost increases, it lost over Rs 38 crore in FY20.