A Kiwi Startup Raises $13 Million in Series A Funding Led by Nexus Ventures

A Kiwi Startup Raises $13 Million in Series A Funding Led by Nexus Ventures

Kiwi, a virtual credit card network, recently revealed that it has raised $13 million from Omidyar Network, with involvement from Nexus Ventures and Stellaris Venture Partners, two of its current investors.

Although the Bengaluru-based company withheld crucial information such as shareholding pattern and post-money value, startup data intelligence platform TheKredible has combed through the regulatory filings to unearth the important facts.

In order to raise Rs 107.9 crore, or $13 million, the Kiwi board approved a special resolution to issue 12,537 Series A compulsory convertible preference shares at an issue price of Rs 86,070 per share.

With a 41.5 crore investment, Nexus Ventures spearheaded the capital round, trailed by Omidyar Network and Stellaris Venture Partners with 35.9 crore and 30.5 crore invested, respectively.

The company is estimated to be worth $64 million, or Rs 531 crore (post-money), according to TheKredible. Through two rounds, it has raised $19 million, or more than Rs 156 crore, to date.

The business raised $6 million in its first funding round in May of this year, led by Nexus Ventures and including Stellaris Venture Partners, Richa Pant, Prashanth R, Sayali Karanjkar, Vineet Sethi, Vijay Agicha, Harshili Mhatre, Parth Pande, Vishal Gupta, Varun Khurana, and Narendra Rathi, among other angel investors.

Kiwi, a startup founded by Siddharth Mehta, Mohit Bedi, and Anup Agarwal, introduced an all-in-one UPI credit solution, enabling users to enjoy UPI credit by partnering with banks to issue Rupay cards. With the app, users may pay with their cards, block cards, and set limitations, and they are rewarded for each transaction.

Founders Siddharth Mehta, Anup Agarwal, and Mohit Bedi reduced their ownership to 16.2% apiece following the distribution of the Series A investment. After the new investment, Nexus Ventures emerged as the largest stakeholder. Additionally, the corporation has a 7.17% ESOP Pool. Go here to view the entire shareholder structure.

Mehta left his role as CEO of FreeCharge in February in order to start his own business.

Kiwi says that since its launch, 25,000 virtual credit cards have been issued, with an average monthly spending of roughly Rs 22,000 per user. Mehta reports that at least 17–18 transactions are made by users each month.

By 2024, the company wants to have enabled credit access for 500,000 UPI customers.

Throughout FY23, Kiwi stayed in the pre-revenue phase. According to Thekredible, its non-operating operations brought in Rs 31.8 lakh during FY23. Throughout the fiscal year, the company’s losses were Rs 2.86 crore.