Slice Notches $50M to Expand UPI Product

FinTech unicorn Slice raised $50 million (Rs 388 crore) in a Series C funding round led by previous backer Tiger Global and new investor GMO Venture Partners, with participation from GMO Venture Partners, Moore Strategic Ventures and Insight Partners.

Slice is earmarking the fresh infusion of capital to expand its unified payments interface (UPI) payments feature rolled out in May, according to multiple media reports. The UPI product is being extended to the 10 million customers on its waiting list who have not been able to get access to credit, as well as to its existing client base.

Launched in 2016 by CEO Rajan Bajaj, the card-based lending and payment solutions provider started as a buy now pay later (BNPL) provider in 2016 before pivoting to a card product in 2019. Headquartered in Bangalore, the startup competes in India with Walmart-backed PhonePe and Google Pay.

See also: ​​Nepal Adopts India’s UPI Payments System to Boost its Digital Economy

Nepal will become the first country beyond India to utilize India’s UPI system, considered a crucial step in moving Nepal toward a digital economy, PYMNTS reported.

Slice enables its users to pay bills, manage expenses and unlock rewards all through its app. The startup is targeting the millennial and Gen Z demographic groups with an average age of 27, a population base largely rejected by big bank credit cards, per reports.

“We have really struck a chord culturally with millennials and Gen Zs nationwide in the last couple of years. With the significant growth in wallet share of slice card, it became increasingly clear that our customers would love to use slice for all their payment needs,” Bajaj told VC Circle.

Read more: RBL Bank Launches UPI Payments Through Amazon Pay

Slice raised $220 million in a Series B funding round last November and could seek another $50 million as part of its current Series C round, which hasn’t yet closed, Economic Times reported.

The startup is expected to have a valuation topping $1.5 billion, unnamed sources with insider information told ET.