SaaS FinTech Zaggle headquartered in Hyderabad, continues to make strides in the financial realm as it secures a substantial Rs 25 crore investment from ValueQuest Scale Fund in a pre-IPO round.
This recent infusion of funds is a noteworthy addition to the Rs 73 crore garnered by the company through a pre-IPO placement just last week. Consequently, the cumulative capital raised by the startup now stands at an impressive Rs 98 crore, garnered across two distinct tranches.
The freshly acquired funds will be judiciously employed by Zaggle to amplify its customer acquisition and retention strategies, foster cutting-edge technological innovations, manage existing financial commitments, and cater to general corporate requirements.
Zaggle, having formally submitted its draft papers to the capital markets regulator Sebi for IPO fundraising in December 2022, is on a definitive trajectory towards public listing. In a pivotal pre-IPO placement, the company effectively allocated 15,24,390 equity shares at a unit price of Rs 164, amassing a substantial sum of Rs 25 crore. This development was officially communicated to investors via a notice by Zaggle on August 22.
Founded in 2011 by Phani Raj, Zaggle’s enduring pursuit of financial innovation has garnered significant support, amounting to a total funding of ₹1.2 billion over the course of three funding rounds, as per Crunchbase data. Additionally, the startup has further fortified its position in the industry by successfully acquiring two startups — Ckick&Pay and Pennyful.com — in 2017 and 2018 respectively.