Ezetap, a fin-tech startup which offers payment solution to merchants, has announced that it has secured Rs 102 crore ($16 million) in its latest funding round. The amount comes from US-based JS Capital Management.
Along with JS Capital, existing investors of the company — Social Capital and Horizons Ventures have also participated in the current funding round.
As a part of this funding round, Salil Seshadri of JS Capital Management will join the Bengaluru-based company’s board.
The funding raised in the current round will help to the company to acquire more startups in its segment, thus strengthening its position in the segment. While the company has already expanded to Kenya, it could spend money on increasing its footsteps to other regions as well.
It will also spend money in an aggressive sales and marketing effort, along with investing in scaling its suite of enterprise solutions.
With this funding round, Social Capital has become the largest shareholder in the company, followed by Horizons and early investors Helion Venture Partners and Prime Venture Partners.
Earlier, the company had raised $23 million in its Series C round, making this round small compared to its previous funding round. Explaining the reason for the same, Abhijit Bose, CEO of the company said:
We raised a smaller round since we are planning to use this mainly as growth capital to expand sales, customer base and enhance technology. The participation of blue-chip investors guarantees us access to huge amounts of capital.
Founded in 2011 by Shripati Acharya, Sanjay Swamy, Abhijit Bose, Bala Parthasarathy and Bhaktha Keshavachar, the company is popular for its pocket-sized mobile point-of-sale (POS) devices that work alongside Android phones.
Abhijit Bose claims that the company has seen a huge success among customers and has already deployed over 200,000 of its POS devices.
Ezetap claims to have grown 8x in the past 18 months. It is now planning to increase transaction volume by another 3x in the coming 18 months.
In this space, the Ezetap competes against the likes of Pine Labs, which provides its users with solutions such as Instant EMI, Instant Discounts, Cash Back Programs, PaybyPoints, Loyalty Solution, Gift Solution, e-Wallet, Targeted Promotions, Dynamic Currency Conversion, and more.