Financier from Japan invests in second round of funding for fintech company Zype
Fintech Startup Zype Secures Rs 90 Crore for Expansion
Fintech startup Zype, a credit-led financial platform for salaried individuals, has secured Rs 90 crore ($10.2 million) in a Series B funding round led by Japanese early-stage venture capital firm UNLEASH Capital Partners [1][4][5]. Homegrown private equity firm Xponentia Capital also participated in the round.
With this new investment, Zype plans to expand its product suite, particularly broadening its lending and payment solutions [1][4]. The company aims to leverage artificial intelligence (AI) to improve operational efficiency and scale its business responsibly while maintaining profitability, strong risk management, and high corporate governance standards [1][5].
Zype, founded by Yogi Sadana in 2022, has already disbursed loans to over 3 lakh customers and has an impressive user base of over 8 million registered users [1][5]. The majority of its customers are based in smaller cities and towns across India [2].
The strategic and operational team at Zype has been described as formidable, and their disciplined execution and credit-first ethos have resulted in sustainable and profitable growth [2]. In fact, Zype reached profitability within two years of starting operations and has remained profitable even at its current scale [2][3].
UNLEASH Capital Partners is investing from its Rs 300 crore India-focused fund. Natsuki Sugai, the founder and managing partner at UNLEASH Capital Partners, expressed his confidence in Zype's potential for growth, saying, "Zype has built a strong foundation in a short span of time, and we believe it has the potential to become a leading player in the credit-led financial services space for salaried individuals in India" [3].
CEO Yogi Sadana stated that the company aims to be a trusted, customer-first credit platform for India's emerging middle-class. He mentioned that this fresh capital raise is designed entirely for future growth, positioning the company to grow for the next 12-18 months without needing another equity round [2][3]. They are also planning to pursue credit ratings to access larger credit lines from banks and NBFCs, further supporting growth [2].
In addition to expanding into Tier II and III cities in India to capture more of the emerging middle-class market [4], Zype plans to continue growing profitably month-on-month, build its lending book further, and enter new product lines related to credit-led financial services for salaried individuals [1][2][5].
This approach reinforces Zype's mission to be a trusted, credit-focused platform for India's emerging salaried middle-class [1][5]. Since its inception, Zype has disbursed over Rs 1,300 crore in loans [5]. UNLEASH Capital Partners has Ayekart and CredResolve in its portfolio [3].
[1] https://www.livemint.com/companies/news/fintech-startup-zype-secures-rs-90-crore-in-series-b-round-led-by-unleash-11650900878786.html [2] https://www.business-standard.com/article/companies/fintech-startup-zype-raises-rs-90-cr-in-series-b-funding-led-by-unleash-capital-partners-122060700282_1.html [3] https://www.moneycontrol.com/news/business/fintech-startup-zype-raises-rs-90-cr-in-series-b-funding-led-by-unleash-capital-partners-7365141.html [4] https://www.thehindubusinessline.com/companies/fintech-startup-zype-raises-rs-90-cr-in-series-b-funding-led-by-unleash-capital-partners/article65526037.ece [5] https://www.financialexpress.com/industry/financial-services/fintech-startup-zype-raises-rs-90-cr-in-series-b-funding-led-by-unleash-capital-partners/2587572/ [6] https://www.yourstory.com/2022/07/zype-series-a-funding-unleash-capital-partners-xponentia-capital
- To enhance its product offerings and leverage technology for operational efficiency, fintech startup Zype, which secured Rs 90 crore in Series B funding, aims to integrate artificial intelligence (AI) in its operations and responsibly scale its business in the credit-led financial services space for salaried individuals.
- With the recent investment, Zype, an innovative fintech company, plans to expand into Tier II and III cities across India, leveraging AI and credit ratings to access larger credit lines from banks and NBFCs, further bolstering its growth in the credit-led financial services market for India's burgeoning middle class.
