OneCard, the mobile-first credit card startup, is set to raise $28.5 million (Rs 239.4 crore) in a new funding round, with investment coming from Better Tomorrow Ventures, Peak XV (formerly Sequoia Capital), and Z47 (formerly Matrix Partners).
This marks the Pune-based company’s first equity investment in 2024, following its debt funding earlier this year in January. According to regulatory filings with the Registrar of Companies (RoC), OneCard’s board has approved the issuance of 72,048 cumulative preference shares, priced at Rs 33,228.3 each, to meet the targeted Rs 239.4 crore funding.
So far, the company has raised Rs 71.4 crore from the three investors, with contributions of Rs 42 crore from Better Tomorrow Ventures, Rs 8.4 crore from Peak XV, and Rs 21 crore from Z47. The remaining Rs 168 crore will be raised in one or more future tranches.
As of the latest evaluation, OneCard is valued at Rs 11,747 crore ($1.4 billion) post-funding, according to data from TheKredible. The company had previously sought $100 million in funding at a flat valuation in September 2023.
OneCard, officially known as FPL Technologies, partners with several banks, including IDFC First Bank, Federal Bank, and SBM Bank, to offer co-branded credit cards, especially targeting first-time users. In addition, it provides a credit score tracking and management app called OneScore. In September 2023, OneCard further expanded its services through a partnership with Indian Bank, offering users full digital control over their credit card activity, such as real-time transaction tracking, spending management, and EMI conversions.
On the financial front, OneCard showed impressive growth, reporting a six-fold increase in operating revenue for FY23, which soared to Rs 593 crore from Rs 97.8 crore in FY22. However, losses also increased by 2.2 times, reaching Rs 405.6 crore in FY23. The company has not yet filed its results for FY24.
Having attained unicorn status following a $100 million funding round in July 2022, OneCard has raised over $350 million in total to date. According to TheKredible, Peak XV and Z47 together hold a 40% stake in the company.