FinTech startup MODIFI will use the $24 million it just raised in a Series B fundraising to upgrade its platform, which includes allowing customers to do all their trade-related business in one place.
The funding round brings the company’s valuation to more than $120 million.
New investor Heliad Equity Partners led the latest MODIFI fundraising round, with co-investment from Italian venture capital firm Neva SGR, an arm of banking group Intesa San Paolo. Existing investors including Global Founders Capital, Maersk Growth and Picus Capital also contributed in this round.
MODIFI offers digital trade financing to small- to medium-sized businesses (SMBs) and helps them to trade internationally. The platform is on pace to share more than $1 billion to Indian SMBs by 2023.
“We have successfully contributed to digitizing the trade finance industry here, with great help from the ‘Digital India’ initiative,” said Co-founder Nelson Holzner. “However, finance is just one piece of the global trade puzzle, and Indian SMEs still lack the tools and know-how to trade with the ease and comfort enjoyed by their larger counterparts.
“Through this funding, we intend to invest in a comprehensive trade management hub that will empower them to take control of their global trade activities,” he said.
Last month, fellow Indian FinTech Khatabook closed a $100 million funding round led by Tribe Capital and Moore Strategic Ventures to give it a valuation of almost $600 million.
The oversubscribed Series C also had participation by Alkeon Capital, Capital Group, Sequoia Capital, Tencent, RTP Global, Unilever Ventures and Better Capital. Independent investors Balaji Srinivasan and Sriram Krishnan also took part in the fundraising effort, according to a company blog post.
Meanwhile, the U.S. Agency for International Development and U.S. International Development Finance Corp. are offering $50 million in loans from India’s Kotak Mahindra Bank. The program will help owners of micro-, small- and medium-sized businesses, and 30,000 women-led companies will get half of the loans.