Innoviti Technologies has successfully secured funding for mid-market expansion to achieve profitability by September 2024. The company offers SaaS tools to enterprise brands such as Reliance and is planning to commence IPO proceedings, according to a report by the Economic Times.

As part of its series E round, payment solutions provider Innoviti has raised USD 9.6 million in funding, led by FMOETtech Rajeev Agrawal, the CEO & Founder of Innoviti. The company aims to raise Rs 115 crore by the end of April through a rights issue and a preferential issue, introducing three new investors without disclosing their identities.

The funding infusion, facilitated through a rights issue, will be utilised to drive the company’s expansion into the mid-market segment and bolster its online business, which has experienced a fourfold growth over the past year. Moreover, the company targets achieving profitability across its enterprise, mid-market, and online sectors by September 2024.

The Series E round, comprising a rights issue and a preferential issue, is expected to conclude by the end of April 2024. Innoviti has already raised INR 40 Cr through the rights issue, led by Bessemer Venture Partners and Patni Family Office. The digital payments solution company is projected to achieve revenue of USD 15 Mn in FY24 and asserts that its enterprise business has been profitable for the past 10 quarters.

Innoviti aims to raise INR 115 Cr (USD 13.7 Mn) in its Series E funding round from existing and new investors. The round is anticipated to be finalised by the end of April 2024.

In March 2022, Innoviti obtained the online payment aggregator (PA) license from the Reserve Bank of India, joining other players like MSwipe, Razorpay, Cashfree and Zomato.

Established in 2002, Innoviti provides payment solutions and PoS terminals to businesses, merchants, and small retailers through collaborations with banks and digital payment providers. The company is backed by investors such as the Dutch entrepreneurial development bank FMO and Catamaran Ventures.

During the fiscal year 2023, the company recorded a revenue of Rs 110 crore, signifying a 50% increase year-on-year. It anticipates sustaining a growth rate of approximately 50% annually.

In 2021, Innoviti introduced its offline buy now pay later (BNPL) product, Genie, in collaboration with the card giant Visa, enabling merchants to offer equated monthly instalment (EMI) schemes to its customers. This product currently contributes almost 35% of the company’s total revenue.

The company’s tools are operational across various online and offline payment channels, processing an annual turnover of over Rs 72,000 crore from more than 2,000 cities and 20,000 merchants. Innoviti also processes over 50% of all purchases in enterprise retail sectors such as food and grocery, lifestyle, and healthcare.

In December, the company is scheduled to initiate IPO plans, with preparations for listing commencing three quarters from now following preliminary discussions with bankers.

Before this round, Innoviti had secured funds in 2022 from investors, including Bessemer, FMO, Patni, and others.