The payments startup Innoviti Technologies, which specializes in merchant solutions, has raised Rs 70 crore (about $8.3 million) in a financing round that comprises debt and equity. One of the company’s last significant investment rounds before its anticipated IPO is represented by this funding.
Out of the total, Rs 60 crore came from stock investments, and the remaining Rs 10 crore came from debt purchases. The Patni family office, Alumni Ventures, Bessemer Venture Partners, and other current investors contributed to the investment round, which was headed by US venture fund Random Walk Solutions.
With this most recent investment, Innoviti’s total fundraising since founding has been close to Rs 400 crore. After this financing, the company’s valuation has increased to $230 million. Within the next three to four months, Innoviti plans to file its Draft Red Herring Prospectus (DRHP) for a public offering, according to CEO Rajeev Agrawal.
Agrawal intends to develop the business’s online merchant payment services with the additional capital. The central bank granted Innoviti a license to operate as a payment aggregator earlier this year. In the offline payments industry, the company mainly provides services to large organized stores like Tanishq, Shoppers Stop, and Reliance Retail.
Agrawal added that the money will stimulate expansion in the online payment industry and aid in paying off existing debt. At the moment, Innoviti generates an annually negative earnings before tax, depreciation, and amortization (EBITDA) of Rs 8 crore while operating at an annualized run rate of Rs 160 crore. The company’s goal for the upcoming quarters is operational profitability.
