Chennai-based Wealth India Financial Services Pvt Ltd (WIFS), promoters of FundsIndia.com, an online financial services transaction platform for retail customers focusing on mutual funds, has raised Rs 20 crore ($3.6 million) in Series B round of funding led by Silicon Valley-based venture capital firm Foundation Capital, which also saw the participation of existing investor Inventus Capital.
Almost three fourth of the money was put in by Foundation Capital, and the rest came from Inventus Capital. The funds will be used to grow the business both in terms of expanding the customer base and enhancing the online platform with new products and services, according to the company management.
Ashu Garg will join the board of directors from Foundation Capital, while Parag Dhol from Inventus Advisory Services (India) will continue on the board.
The company had earlier received Rs 3 crore in Series A round from Inventus Capital Partners in August 2010.
Ashu Garg, general partner, Foundation Capital said, "FundsIndia brings tremendous conveniences, cost benefits and an exciting online investment experience to its customers. As their growth track record shows, they are well poised to scale new heights in the coming years."
Wealth India Financial was founded by C R Chandrasekar and Srikanth Meenakshi in 2008. Its flagship platform FundsIndia.com is an online investment services platform that caters to retail investors for investments in mutual funds, equities, and corporate deposits, equity investment platform.
CR Chandrasekar, CEO of WIFS said in a statement said, "We started this business with the belief that technology enabled service delivery is the most cost-efficient model for financial services in India.This round of funding empowers us to expand our vision both in terms of the market reach as well as the depth of our services."
Parag Dhol, MD of Inventus Advisory Services (India) said, "This round of funding should enable FundsIndia leapfrog its growth. We look forward to working alongside Chandra, Srikanth and Foundation to create a leading online financial services platform."
(Edited by Prem Udayabhanu)