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Payment gateway and PoS firm Innoviti closes Series E funding

Entrackr · 1m

Payment gateway and point of sales (PoS) provider Innoviti has Rs 70 crore ($8.5 million) in a combination of equity and debt. The second tranche of Series E round was led by Random Walk Solutions, with participation from existing investors Bessemer Venture Partners USA, Patni Family Office India, and Alumni Ventures. The Bengaluru-based company raised the first tranche of Series E in April this year. Post closing Series E, the company will be working towards its IPO within the next 12 months. Innoviti provides payment gateway and PoS devices to merchants to collect card-based payments. Its big ticket-size clients include Reliance, Tanishq, and Shoppers Stop among others. As per Innoviti, its enterprise POS solution, uniPAYNext, is operating at an EBITDA of 20%, and growing at a 23% annualized rate while the electronics EMI solution, GENIEPlus, is growing at 80% annually, and operating at a -18% EBITDA. Meanwhile, GENIEPlus is expected to breakeven by the end of this fiscal year (FY25). Overall, the company claims to be operating at an annualized run-rate of Rs 160 crore with an EBITDA of Rs -8 crore. It targets to become operating profitable in the next couple of quarters. While Innoviti is yet to file audited financials for FY24, its operating revenue grew 48% to Rs 110.2 crore in FY23. The company’s ARR and current EBITDA claims indicate a turnaround as its losses stood at Rs 86.5 crore in FY23. Service fees charged from these facilitations were the sole source of operating revenue for Innoviti in FY23. Earlier this year, Innoviti also received the final authorization from RBI to operate as an online payment aggregator.