Venture debt fund Alteria Capital and Krishna Bhupal, cofounder of Rational Pricing Technologies also participated in the round.
While Rs 20 crore was invested as equity, Rs 3.5 crore was raised in debt.
Founded by Vineet Gupta and Mukund Rao in 2020, Muvin caters to both teens and young adults through its prepaid card and mobile app. Headquartered in Bengaluru, it currently has over 50,000 registered users and aims to grow to one million customers in the next 12 months.
The company said it would use the fresh funds for product development and to more than double its team size from the existing 25 in the next 12 months.
“We are looking forward to growing our team and enhancing our tech product to address our customers’ needs and will be ramping up our marketing initiatives to onboard users pan-India over the next 18 months. We will be introducing several features on our card and mobile app over the next two-three quarters that will substantially upgrade our users’ experience. We are very bullish about our growth and with this funding, the journey ahead looks very exciting as we work towards growing into India’s leading youth focused neobank,” Rao said in a statement.
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Vinod Murali, managing partner of Alteria Capital said, “We are very excited to support Mukund and Vineet in their journey as they improve financial literacy and democratise transactions for India’s youth. The initial engagement for the product has been promising and we feel this is a very large market which has not been tapped yet. Young India has significant aspirations including financial independence and muvin helps them in achieving these goals. ”
“Teens and young adults are a key customer segment in India. At a time when payments are increasingly getting digital, they need not be dependent on cash or their parent’s debit cards orUPI wallets to pay for these transactions.. It also catches this crucial segment early and puts them on to a path to understand and handle finance in their own intuitive ways,” Ashish Jain, partner, WaterBridge Ventures said in a statement.
