Neobank Jupiter's NBFC arm secures Rs 20 crore funding from Peak XV Partners, Matrix Partners, and other investors

Bengaluru-based Amica Finance Pvt Ltd, the NBFC arm of consumer-focused neo-banking startup Jupiter, has secured Rs 20 crore in its first equity funding round. The round was spearheaded by Peak XV Partners, as per filings with the Registrar of Companies (RoC).

Peak XV Partners contributed Rs 5.2 crore, while Matrix Partners invested Rs 4.3 crore. Additional investors included QED Fund, Greyhound Capital, Tiger Global, Beenext, Mirae Asset Venture Investments, and Global Founders Capital—all of whom are also backers of Jupiter.

In this funding round, Amica Finance issued 9,789,529 Series A compulsory convertible preference shares (CCPS) at an issue price of Rs 20.43 per share.

Jupiter, which secured an NBFC license from the Reserve Bank of India (RBI) in April 2023, has now advanced its capability to lend directly from its books, moving beyond its previous model of lending through partner NBFCs. At that time, Jupiter’s founder Jitendra Gupta indicated the company's intention to hire a professional chief executive for the NBFC unit, though the position remains unfilled.

In addition to this milestone, Jupiter recently obtained a prepaid payments instrument license from the RBI, enabling the startup to offer digital wallets for UPI payments, fund transfers, and bill payments.

Since its inception, Jupiter has raised a total of $165 million through various funding rounds, including both debt and equity. The most recent equity round in December 2021 saw the company raise $86 million, led by Tiger Global, pushing its valuation to $711 million.

This strategic investment marks a significant step for Amica Finance and Jupiter, reinforcing their position in the fintech landscape and enhancing their capabilities to offer a broad spectrum of financial services to consumers across India.

About Amica Finance Pvt Ltd

Amica Finance Pvt Ltd, a subsidiary of Jupiter, operates as a non-banking finance company (NBFC) focused on providing credit and financial services. Leveraging the parent company’s innovative neo-banking platform, Amica Finance aims to deliver seamless and efficient financial solutions to a diverse customer base.

About Jupiter

Jupiter is a Bengaluru-based neo-banking startup that offers a comprehensive range of financial services through its digital platform. Known for its user-friendly interface and customer-centric approach, Jupiter has quickly become a prominent player in the fintech sector, attracting significant investments and expanding its service offerings to meet the evolving needs of consumers.

"Amica Finance’s ability to integrate with Jupiter’s cutting-edge neo-banking platform positions it uniquely in the market, providing immense value to its users," said a spokesperson from Peak XV Partners.

With the new funding, Amica Finance plans to streamline operations, expand its team, drive innovation, and increase brand awareness. The company is also exploring opportunities to build an offline retail presence and tap into tier II and tier III cities, aligning with Jupiter’s broader goals of expanding its footprint and revolutionizing financial services in India.

According to industry analysts, India's NBFC sector is poised for substantial growth, driven by increasing demand for credit and the expanding reach of digital financial services. Companies like Jupiter and Amica Finance are well-positioned to capitalize on these trends, offering innovative solutions that cater to the evolving needs of consumers and businesses alike.