Innoviti, a leading digital payments solution provider, has officially closed its Series E funding round, raising INR 70 Cr ($8.3 Mn). The funding was led by Random Walk Solutions, with participation from existing investors including Bessemer Venture Partners, Patni Family Office India, and Alumni Ventures. The investments were made in a combination of equity and debt.
As part of its future plans, Innoviti disclosed its intention to make a public market debut with an initial public offering (IPO) within the next 12 months. The company also revealed that it is currently operating at an annualized run rate (ARR) of INR 160 Cr, with an EBITDA loss of INR 8 Cr. However, Innoviti is optimistic about achieving profitability in the coming quarters.
Founded in 2002 by Rajeev Agrawal, Innoviti provides businesses with the ability to accept payments and integrate real-time sales data into critical business processes. The company claims to process over INR 72,000 Cr of purchase volume annually across 2,000 Indian cities, with more than 20,000 offline and 3,000 online merchants.
In March 2024, Innoviti secured an online payment aggregator (PA) license from the Reserve Bank of India (RBI) to operate its PA platform, ‘Innoviti Link.’ The company reported that Innoviti Link is experiencing a growth rate of 10% month-on-month.
In addition to its PA business, Innoviti offers an Enterprise POS solution, uniPAYNext, which is operating at an EBITDA of 20% and growing at a 23% annualized rate. Furthermore, its Electronics EMI solution, GENIEPlus, is growing at an impressive 80% annually and is expected to breakeven by March 2025.
The successful closure of this funding round comes three months after Innoviti initially sought to raise INR 115 Cr from existing and new investors. The company had earlier announced plans to utilize the fresh capital to fuel its mid-market and online expansion.
Vishal Gupta, India Head of Bessemer Venture Partners, expressed confidence in Innoviti’s growth trajectory, stating, “We have seen their ability to retain and grow their relationships in the tough Indian enterprise retail market and are excited to support the next phase of their growth journey in the mid-market and online spaces.”
For the fiscal year 2022-23 (FY23), Innoviti reported a revenue of INR 110.2 Cr from operations. However, the company also recorded losses amounting to INR 86.56 Cr.