Perfios Secures $229 Million in Series D Funding Led by Kedaara Capital

Perfios, the Indian B2B fintech firm, has raised $229 million in a Series D funding round spearheaded by Kedaara Capital, a private equity investor. Combining primary and secondary sales, this investment signifies one of the most significant capital infusions into an Indian B2B SaaS company in 2023.

Sabyasachi Goswami, the Co-founder and CEO of Perfios, said, “This investment will help us in strengthening the digital transformation journey of our partners, thereby powering financial inclusion and providing access to financial services to billions across the globe.”

Perfios, headquartered in Bengaluru, had secured approximately $70 million in its Series C round from existing investors Warburg Pincus and Bessemer India, resulting in a valuation of $400 million. While the company has not disclosed its current valuation post the Series D funding, it has accumulated a total funding of around $360 million.

The fresh capital infusion will accelerate global expansion, particularly in North America and Europe. Additionally, Perfios intends to allocate resources towards advancing its suite of decision analytics SaaS products through cutting-edge technologies.

Founded in 2008 by V.R. Govindarajan and Goswami, Perfios aggregates and analyzes financial data, encompassing bank statements, tax information, and business financials. This sophisticated data analysis facilitates the generation of comprehensive reports that cover credit assessment, monitoring, fraud detection, and banking data aggregation.

“Their pioneering approach has led to a strong positive flywheel effect that will help the company maintain its market-leading position, and we are excited to partner with them,” said Kartikeya Kaji, Managing Director at Kedaara Capital.

Perfios boasts over 100 prominent entities as clients nurtured over time, spanning various domains such as banks, non-banking financial companies (NBFCs), digital lending platforms, mutual fund companies, insurance providers, and human resources firms in India and overseas.

Perfios’ impact in the financial sector is noteworthy:

The company delivers an astonishing 8.2 billion data points annually to banks and financial institutions.
Moreover, the firm processes an impressive 1.7 billion transactions yearly, boasting assets under management (AUM) totaling $36 billion.
While Perfios has yet to divulge its annual financial statement for FY23, the company has achieved a remarkable YoY growth rate, successfully meeting its revenue targets.
Perfios’ operating revenue surged by 88.1 percent to reach INR 136.4 crore in FY22 while reducing its losses by 62.1 percent, resulting in losses of INR 12.36 crore during the fiscal year.

This funding comes when investors are treading cautiously regarding capital deployment. Venture Intelligence data underscores that private equity and venture capital funding for Indian startups has declined by 79 percent, contracting from $15.7 billion to $3.3 billion in the January-May period of 2023 compared to the same period in the previous year.

Perfios entered the coveted unicorn club in February 2022, following a Series C round that garnered nearly $70 million from existing investors, Warburg Pincus and Bessemer Venture Partners.

The fintech startup has evolved into a B2B SaaS company catering to the Banking, Financial Services, and Insurance (BFSI) industry across 18 countries. Notably, Perfios acquired Karza Technologies in March 2022, solidifying its position as a leading player in the industry.

Perfios’ strategic plans involve leveraging this substantial investment to fuel its ongoing global expansion and innovate and enhance its suite of decision analytics SaaS products. With a portfolio comprising more than 75 products and platforms, supported by over 500 application programming interfaces, Perfios will grow and influence the fintech sector.

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