Grow, an Indian startup helping Millennials invest in mutual funds and stocks, is in advanced stages of talks to raise a new financing round at a valuation of $3 billion, according to six people familiar with the matter.
The Bangalore-based startup is in talks to close a $250 million round, with people requesting anonymity saying the matter is private. He said the round could close within weeks.
General Warning Applicable: Transaction terms are subject to change. The startup has received several termsheets – with similar terms – in the recent past. People said Tiger Global, Kotue and TCV are in talks to lead or co-lead the round. And several others, including Insight Partners, have also explored the investment, the people said.
A spokesperson for Coatue declined to comment. Grow’s chief executive did not respond to a request for comment. Indian News Outlets CapTable previously reported About Grow’s upcoming financing round.
Grow is entering a huge market. More than 200 million people in India transact money digitally, but less than 30 million invest in mutual funds and stocks. The startup allows users to invest in mutual funds, including systematic investment plans (SIPs) and savings linked to equity, gold, as well as stocks listed on US exchanges. The app offers every fund that is currently available in India.
Investors’ growing push — or double down — Grow follows several months of strong growth. According to two people associated with the matter, the Indian startup is currently on track to clock in around $35 million in ARR. Grow, which counts Tiger Global and Sequoia Capital India among its existing investors, was valued at $1 billion in April this year and $250 million last September.
One person said that the startup is exploring expansion into the crypto space internally, but has not made any concrete decisions about whether it plans to offer such trading.