Bengaluru's Perfios becomes India's newest unicorn after raising $80 million

Perfios, a Bengaluru-based fintech SaaS startup, has reportedly joined the unicorn startup club after raising $80 million in funding from Teachers’ Venture Growth (TVG), the late-stage investment arm of the Ontario Teachers’ Pension Plan.

While the startup didn't reveal the valuation, A Business Standard report said the round values Perfios at over $1 billion. This makes Perfios India's second unicorn of 2024 after Bhavish Aggarwal's AI startup Krutrim. 

Prior to this round, Perfios raised $229 million in a Series D funding round led by Kedaara Capital.

Expansion and technological advancement

The fresh capital infusion is earmarked for further international expansion and strengthening Perfios' global presence. The startup said it plans to continue enhancing its tech stack to support end-to-end customer journeys across banking, insurance, and embedded commerce.

Eyeing inorganic growth amid IPO plans

Perfios said it is eyeing inorganic growth opportunities as part of its strategic plan. The approach comes at a pivotal time as the company contemplates a potential $500 million IPO on the Indian bourses.

“Our business has been seeing steady growth year-on-year, with consistent improvement in the bottom line. I want to extend my heartfelt gratitude to all our partners who have trusted us throughout our journey," said Sabyasachi Goswami, CEO of Perfios.

"This investment will further help us in strengthening the digital transformation journey of our partners, thereby powering financial inclusion and providing access to financial services to billions across the globe. I am glad to have Teachers’ Venture Growth as a new investor in our Perfios family," Goswami added.

Last year, the startup reported a substantial rise in its revenue, from Rs 136 crore to Rs 407 crore in FY23. The disciplined approach to spending has enabled Perfios to register a profit of Rs 7.8 crore in FY23, marking a significant recovery from a Rs 16.8 crore loss in FY22.

What does Perfios do?

Founded in 2008, Perfios offers software solutions to the banking, financial services, and insurance sectors across 18 countries. The startup helps financial institutions handle various processes, including customer onboarding, decision-making, underwriting, and monitoring, making these processes quicker and more efficient.

It provides a massive amount of data, about 8.2 billion data points annually, to help banks and other financial entities make faster decisions. Additionally, It handles a substantial number of transactions, around 1.7 billion, amounting to an Asset Under Management (AUM) of $36 billion annually.