Fintech IndiaGold raised $22 million in a Series A funding round led by a clutch of investors including Alpha Wave, 3one4 Capital, PayU, Leo Capital, Better Tomorrow Ventures and Rainmatter Capital in two tranches.  

In the first tranche, the company received $12 million in August 2021. It now received an additional $10 million. 

“We are grateful that our existing investors have doubled down on their investment in IndiaGold, especially in the current environment, exhibiting their faith in our ability to run and scale the business responsibly,” co-founder Nitin Mishra said. 

Founded by ex-Paytm associates Deepak Abbot and Nitin Mishra, the Gurugram company is known for offering gold locker services and quick gold loans across the country. It also offers doorstep gold loans for customers.

Currently, the company is providing services in 12 cities including Delhi, Mumbai, Chennai, Hyderabad, Pune, Surat, Indore, Visakhapatnam, Gurugram, Noida, Faridabad and Ghaziabad. 

With the fresh infusion of funds, the company wants to expand its business operations and aims to reach 25 cities with its services. Additionally, the company wants to hire new and experienced staff to bolster its overall team, the company said in a statement. 

In the financial year (FY) 2022, the company registered Rs 2.76 crore in revenue from operations compared to Rs 40 lakh in the previous financial year. It reported a 2x increase in revenues. 

With an increase in revenue, the company also witnessed a surge in net losses. In FY22, the company witnessed a loss of Rs 28.7 crore compared to Rs 5.5 crore in FY 21.