PremjiInvest leads the $110 million funding round for fintech startup Mintifi
Supply chain finance platform Mintifi on Wednesday said it has raised $110 million (Rs 902.5 crore) in its Series D funding round led by PremjiInvest, the private investment firm of Wipro Ltd founder Azim Premji.
“Some early backers and ESOP holders will cash out as part of the fundraising,” said Anup Agarwal, managing director of Mintifi.
The startup did not disclose the valuation after the fundraising. In all, Mintifi has raised Rs 1,200 crore in equity funding till date.
The latest infusion of capital comes about a year after the startup raised $40 million in a Series C round last year. It will help Mintifi increase its presence across key sectors. The company also aims to add new offerings such as business-to-business payments, dealer management system and strengthen its technology infrastructure on top of its financing offering.
“This round of funding will allow us to accelerate our growth, expand our team and deliver even greater value to our customers,” said Agarwal. “We believe that a software-as-a-service solution to build a single stack for the enterprise partners to manage the entire supply chain is a very attractive value proposition.”
Founded in 2017 by Agarwal, Ankit Mehta and Sanjoy Shome, Mintifi provides supply chain payments, invoicing and purchase finance solutions to supply chain distributors and retailers. It works with over 100 brands in the country which include Tata Motors, Jockey, Finolex, Varun Beverages, Parle Agro, TVS Motorcycles, Bridgestone, Prince Pipes and Berger Paints.
“Our plug-and-play approach allows us to scale quickly by tapping into a huge outstanding receivables pool of blue-chip companies while maintaining profitability,” said Agarwal.
Mintifi’s operating income grew 2.7 times to Rs 56.8 crore for the financial year 2021-22. It reported a net profit of Rs 1.03 crore for FY22.
– In the last 12 months alone, we have grown by around 400%. This year, on a much larger base, so to say at least we will grow by 150% to 200%,” Agarwal said in an interaction. “It has been done in a very efficient way from a cost side because it has not are some customer acquisition costs.”
The company operates at an operating rate of Rs 20 crore per month, up from Rs 6 crore in February last year. It expects to reach a rate of Rs 45-50 crore by March 2024, the founder said.
“Mintifi addresses white areas in supply chain finance. Its flexible supply chain finance solutions create a win-win situation for anchors, distributors and retailers and has demonstrated good product-market fit,” Saravanan Nattanmai, principal at PremjiInvest, said in a statement.
PremjiInvest invests in public and private markets across industries, including technology, consumer, financial and healthcare industries. It has previously backed firms such as SBI General Insurance, Aditya Birla Capital, Shubham Housing Finance, Kreditbee, PolicyBazaar, FabIndia, Hygienic Research, ID Foods, Lenskart and Flipkart.
Avendus Capital acted as the exclusive financial advisor to Mintifi.
