Uni announced it has raised $18.5 million in its seed financing round led by Lightspeed and Accel. The startup currently does not have a product, but it took Gupta only two months in the middle of a global pandemic to raise what is one of the largest seed financing rounds in India.
Jayanth Kolla, founder and chief analyst at consultancy firm Convergence Catalyst, said, an “$18.5 million seed funding for a two-month old startup without even a product or an MVP yet basis purely on the founder’s credentials and history is the first instance of a pure-play Silicon Valley type funding in India.”
“It would seem very obvious when it comes out, and people will wonder why nobody else thought of it,” he said, adding that he is working with multiple banks on partnerships.
The adoption of digital payments has grown exponentially in the country in the last five years, but the credit card business is still struggling to make inroads, he said, adding that he sees an opportunity to expand the credit card base to 200 million over the next five years.
“Nitin and Uni’s team are passionate about unlocking the power of financial services for millions of Indian consumers using new tech-powered solutions,” Bejul Somaia, a partner at Lightspeed India, said. “We are excited about their mission and proud to support them from day one.”