Groww, an Indian startup that’s serving to millennials spend money on mutual funds and shares, is in superior phases of talks to lift a brand new financing spherical at a $3 billion valuation, based on six folks accustomed to the matter.
The Bangalore-based startup is negotiating to shut a $250 million spherical, the folks stated, requesting anonymity because the matter is personal. The spherical might shut inside weeks, they stated.
Traditional caveats apply: The phrases of the deal might change. The startup has acquired a number of termsheets — with comparable phrases — in latest days. Tiger World, Coatue, and TCV have held conversations to steer or co-lead the spherical, folks stated. And lots of together with Perception Companions have additionally explored funding, the folks stated.
A spokesperson for Coatue declined to remark. Groww chief govt didn’t reply to a request for remark. Indian information outlet CapTable first reported about Groww’s upcoming financing spherical.
Groww is tapping into an enormous market. Greater than 200 million folks in India transact cash digitally, however fewer than 30 million spend money on mutual funds and shares. The startup permits customers to spend money on mutual funds, together with systematic funding planning (SIP) and equity-linked financial savings, gold, in addition to shares, together with these listed at U.S. exchanges. The app provides each fund that’s at present obtainable in India.
Traders’ rising push to again — or double down on — Groww follows a number of months of robust development. The Indian startup is at present on monitor to clock about $35 million in ARR, two folks briefed on the determine stated. Groww, which counts Tiger World and Sequoia Capital India amongst its present buyers, was valued at $1 billion in April this yr and $250 million last September.
The startup can also be internally exploring growth into the crypto area, however hasn’t made a agency resolution on when it plans to supply such buying and selling, one particular person stated.
The brand new funding talks — and the surge in proposed valuation — additionally illustrate the extent of pleasure Indian startups have produced in latest quarters. Greater than two dozen startups in India have turn into a unicorn this yr, up from 11 final yr.
And that checklist continues to broaden. Indian esports agency Cellular Premier League stated on Wednesday it has raised new funds at a valuation of $2.3 billion. And Apna — which helps low-skilled staff study and discover new alternatives — and crypto buying and selling app CoinSwitch Kuber are additionally in talks to raise new rounds at unicorn valuations, TechCrunch has previously reported.