- Flipkart co-founder Sachin Bansal seeks $400M for fintech startup Navi at $2B valuation.
- Navi abandoned IPO plans amidst market slump and RBI’s denial of banking license.
- Navi’s profitable half-year results attract investor interest in current funding round.
Sachin Bansal, co-founder of Indian e-commerce giant Flipkart, is in talks to secure the first major external funding round for his fintech startup, Navi Technologies.
According to reports by TechCrunch, Bansal aims to raise between $200 million and $400 million at a valuation of $2 billion. This marks a significant shift for Bansal, who had been bootstrapping Navi since its inception in 2018 following his successful exit from Flipkart.
Abandoned IPO setbacks
Navi Technologies, which offers personal loans, home loans, and health insurance, had initially planned a $440 million listing in 2022. However, the company abandoned its IPO plans amidst a market slump.
Additionally, the Reserve Bank of India denied the banking application of Navi’s microfinancing unit, Chaitanya, preventing the company from securing pre-IPO funding from SoftBank and other investors at a valuation of over $4 billion.
Streamlining future prospects
In August 2023, Navi sold Chaitanya for $178.5 million to streamline its focus. Despite the setbacks, Bansal remains open to future IPO possibilities and securing a banking license for Navi, as stated in an interview with Moneycontrol.
The company reported a profit of $4.4 million for the six months ending September 2023, signaling its potential for growth and attracting investor interest in the current funding round.
To read the original article: https://www.techinasia.com/flipkarts-sachin-bansal-seeks-400m-funding-for-navi
