Innoviti raises $4.7m in first close of Series E funding round

By Gloria Mathias

Innoviti Technologies, India’s payments-centric retail SaaS platform for enterprise brands and their SME channel partners, has announced that it has closed a $4.7 million (INR 40 crore) first close of its ongoing Series E round.

The round was led by Bessemer Venture Partners and Patni Family Office, with early angels and founders subscribing to the rights issue.

The company is committed to providing software tools through payment channels to marquee enterprise brands such as Reliance, Tanishq and Shoppers Stop. Innoviti’s tools help these brands to accept payments more reliably and securely and to accelerate growth by unlocking competitive advantages that lay hidden for traditional payment systems.

The company’s enterprise business has been generating operating profits for the past 10 quarters, with profitability steadily improving. The mid-market and online businesses are growing rapidly and are targeted to become profitable by September 24.

Innoviti had last raised funds in 2022, where Bessemer, FMO, Patni and other investors had participated. This round of funding will be used to drive the company’s mid-market expansion that started in 2021 and fuel the online business that has grown 4X in the last 12 months. The company is planning on raising additional capital in the current ongoing round by the end of April.

This is expected to be the last round before the company starts generating sufficient cash for its future growth, which is expected to happen in the next 12 months. The company will initiate its IPO planning subsequently. The company received final authorization from the RBI to operate as an online payment aggregator earlier this year.

Vishal Gupta, Partner & India Head, Bessemer Venture Partners, said, “Innoviti has demonstrated a unique ability to deliver value-added SaaS through payment channels. We have seen their ability to retain and grow their relationships in the tough Indian enterprise retail market and are excited to support the next phase of their growth journey in the mid-market and online spaces.”

Arihant Patni, Patni Family Office, said, “We have seen the strategic positioning Innoviti enjoys in the Indian enterprise retail space, and are excited to support their growth journey as they make inroads into mid-market retail and online spaces.”