IDfy, a regtech and identity verification firm based in India, has raised ₹476 crore (approximately $53 million) in a Series F round, significantly boosting the regtech and identity verification ecosystem in India. Neo Asset Management, via its Neo Secondaries Fund, led the investment, which was among the largest capital contributions into a homegrown platform of trust and identity.

Funding round and investor participation

The capital raise is designed as both primary and secondary funding. The most important part of the round, with a valuation of approximately ₹220 crore ($25 million), is the direct infusion of fresh capital into the company. The other secondary component helps to exit some of the early-stage investors of the company and employees, which is much-needed liquidity in the private market.

Though the largest commitment of ₹189 crore was made by Neo Secondaries Fund, the investment was well-suited to several major existing investors, including Blume Ventures, Analog Capital, Elev8 Venture Partners, IndiaMART, and Kae Capital. Under this infusion, the post-money valuation of IDfy is approximated to be around ₹2,420 crore ($272 million), which is a consistent growth in its market value as the company advances towards its long-term target of an Initial Public Offering (IPO).

Strategic growth and financial performance

The new capital is to be allocated to three main strategic pillars. First, the proceeds will be used by IDfy to make strategic acquisitions, which can bring proprietary data capabilities into the company and enable it to build a stronger risk underwriting stack. Second, the company considers an aggressive international expansion, with a view to expanding its presence in Southeast Asia and the Middle East and exploring as well the new global markets. At present, international business operations make approximately 18% of the total income of the company.

Thirdly, the funding will drive the further development of its TrustStack platform. With more than 500 enterprise clients (notably 70% of the large banks and NBFCs in India) and more than 500 million checks being verified every year, Idfy has more than 500 clients. With the growth of digital transactions and the introduction of regulations such as the Digital Personal Data Protection (DPDP) Act in India, there has never been a greater demand to regulate the concept of privacy and help detect fraudulent activities in the country.

The raise is based on the excellent financial performance of Idfy during the 2025 fiscal year. The company registered a growth of 28.3% in operating revenue to ₹186 crore against ₹145 crore in FY24. The company achieved a decisive moment when it became profitable, and the net profit amounted to ₹1.6 crore, after years of losses in the years prior.

Conclusion

The Series F round, which was led by Neo Secondaries Fund with a valuation of $53 million, makes IDfy one of the leading representatives of the world regtech. The company has also exhibited a mature capital management strategy by its ability to balance between primary growth capital and secondary liquidity of early stakeholders. With its expansion of operations into seven countries and the incorporation of modern privacy-enhancing technologies, IDfy is moving in the direction of becoming the digital infrastructure of trust that its founders only fantasized about in 2011.