Jupiter Money is a Bengaluru-based fintech platform that has successfully raised a new round of capital, raising an amount of ₹115 crore. This is a substantial capital injection, which is a strong indicator of confidence among the current shareholders of the firm, in the wake of a financial year that saw the startup increase its revenues more than twice. With a mission of simplifying financial services and making them more accessible to the millennials in India, the company is now on a path of realizing breakeven in its operations and expanding its user base at a faster pace. The strategic investment highlights the confidence that the market has in the model of sustainable and healthy growth of Jupiter Money in the highly competitive environment of fintech.

Fresh capital and strategic goals

The ₹115 crore financing round was actively attended by a number of its current major investors and supporters. This round saw the participation of Mirae Asset Venture Investments, BeeNext, and 3one4 Capital. To add another element of dedication and trust, the round also attracted other capital directly through the founder and CEO, Jitendra Gupta of the company. This internal support, in addition to the ongoing support of its leading venture capital partners, offers a significant push to the company in the short-term objectives.

Jupiter Money is a regulated, single-app platform that offers a broad range of financial products. Its products today include savings accounts, credit cards, loans, investments, and insurance. The new capital will play a significant role as the company keeps on its tracks, which it says is by doubling down on sustainable growth, following a revenue growth of over 2.2 times in the previous financial year. The long-term investment backing is a sign of the sustainability of the regulated, full-stack financial services business model of the company.

The fresh capital will be used to enable Jupiter Money to expand its business responsibly as it works towards achieving its high strategic targets. Jupiter Money has established specific time-limited goals in the short term. In the next 24 months, the company sets the goal of attaining operational breakeven, which implies a strong determination to be self-sufficient in financial terms.

Financial performance and expansion

The new funding round will be supported by the successes Jupiter Money has recorded in customer acquisition and customer engagement. The platform has already registered more than 3 million customers, which is a strong indication of a large customer base in the Indian market. A substantial part of this user base is extremely active 60% of the customers are actively engaged with multiple products offered by the platform. This measure is a prime indicator of profound customer trust and penetration, where over a quarter of active users are now using two or more services of Jupiter.

In addition to the overall user indicators, significant product lines express impressive adoption. The account aggregator platform of the company has gained a user base of more than 1 million within a short time. Its co-branded credit card, which has been created in collaboration with CSB Bank, has reached a milestone of 150,000 issued cards. The usage rate of the credit card is also quite impressive, with users spending nearly 24 transactions every month.

As part of its expansion of financial services offering, Jupiter Money has gone a long way in obtaining the required regulatory approvals to expand vertically. The company has formally announced its intention to enter into the insurance distribution sector by obtaining a direct insurance broker license from the Insurance Regulatory and Development Authority of India (IRDAI). This license will enable Jupiter to be a distributor and introduce an important and much-needed product line to its already-established complete package.

The company is also strategizing on the expansion of its current NBFC arm. It is a lending institution that will substantially grow in size, supported by several key investors such as Peak XV, Z47, Tiger Global, Beenext, and QED. Its growth will be aimed at expanding its products to personal and SME lending, as well as secured lending, in a larger and integrated lending portfolio, accessing more credit market opportunities.

Conclusion

Jupiter Money is well-positioned in the fintech industry due to the successful raise of ₹115 crore through its established investment partners, Mirae Asset, BeeNext, and 3one4 Capital. Following a distinct 24-month operational breakeven roadmap, a pledge to grow its user base twice, and an aggressive development of new verticals such as insurance and various lending products, Jupiter Money will secure its mission of simplifying money management and making it more accessible to millions of Indian millennials.