Fintech for underserved areas PayVEDA closes $11.5 million in funding from SphitiCap

PayVEDA closes $11.5 million in Series A funding from SphitiCap

SphitiCap – an early stage sector agnostic fund today announced its second investment portfolio with $11.5 million Series A funding in PayVEDA. PayVEDA is a leading solution-oriented fintech player bridging the economic gap (banking and non-banking) in underserved regions of India. The company’s promising growth, its pipeline of strategic acquisitions and the near-likelihood of an initial public offering (IPO) contributed to its inclusion in SphitiCap’s carefully crafted investment portfolio.

Since its inception, PayVEDA has built a strong network of over 80,000 merchants and aims to reach 50 lakh merchants in the next four years. Further, the company has seen a gross transaction volume of 7,000 crores, from over 5 crore monthly transactions, which it aims to increase to 30 lakh crores over the next four years. PayVEDA is an innovation-centered company, and is in line with SphitiCap’s basic philosophy of sustainability, growth and impact.

Talking about the investment, Pallav Kumar Singh, Managing Partner at SphitiCap said, “Financial inclusion is a key concern in India, given the changing global economic and political dynamics. Although we as a nation are currently shielded from fiscal undercurrents; a large portion of our population lives in rural towns which remain in great need for access to credible financial institutions and advisory. Fortunately, we are blessed with a robust startup ecosystem driven by innovators focused on solving real problems and creating real impact. Adding a fintech giant like PayVeda, which has been at the forefront of solving these challenges on the ground, to our portfolio is absolutely exciting. We are confident that our investment in the company will provide impetus to its expansion and acquisition strategy while strengthening the company’s IPO roadmap. We look forward to seeing the impact of our investment in the years to come coming.”

In addition to the above, Prateek Vohra, Founder of PayVEDA said, “PayVEDA is committed to changing lives and empowering people living in the remotest corners of the country. Our goal is to take banking and non-banking fintech services to rural India and create employment for rural youth in places that are often overlook. Furthermore, our goal is to leverage technology to increase financial inclusion and create a financial ecosystem for the underbanked and unbanked across the country. Our innovative products along with our seamless offerings build on the active network that we hope to continue to strengthen and expand. Our partnership with SphitiCap is sure to enable us to further our vision and we are excited to build a long-term relationship with the team.”

SphitiCap recently announced to lead the Series A funding round in ClearDekho and is now on track to announce up to 10 more this quarter.

About SphitiCap

SphitiCap is an India-centric, early-stage sector-agnostic fund, primarily investing in 10 sectors across India. With innovation at its core, SphitiCap focuses on investments in companies that are in line with the principles of sustainability, growth and impact. The VC firm funds companies from the seed stage to Series A, leading to a funding size of USD 10 million. The fund’s total corpus is 500 million. aims to value sustainable profitable growth with a well-defined exit strategy. It pioneers Indian businesses by seamlessly and powerfully embedding large-scale capital raising and investor confidence ecosystems

About PayVEDA