Source Type: Internal

Pre-money valuation jumps 1.7x from $1.15B in prior round

Bengaluru, February 11, 2025: Zeta, a next-gen banking tech provider to financial institutions globally, today announced it has secured a $50 million investment from a strategic investor valuing it at $2 billion. Zeta had previously been valued at a pre-money valuation of $1.15 billion when it raised $250 million from Softbank Vision Fund 2 and other marquee investors in 2021.

“We are incredibly excited at the pace at which clients are embracing our modern stack,” said Zeta’s Global CEO and Co-founder, Bhavin Turakhia. He added, “Over the past few years, we have supported over 25 million accounts on our cloud-native processing platform Tachyon and are on track to add 25 million more with contracts already in flight. Our clients are breaking away from decades of legacy systems to deliver amazing digital experiences thereby increasing their customer satisfaction and accelerating new user acquisition.”

Zeta’s SaaS offerings enable Banks and Fintechs to launch any asset, liability or payment product including credit cards, checking accounts, savings accounts, unsecured loans, and more – for consumers, SMBs and corporates on a modern, Microservices based, API-first, Cloud-native, and Headless (MACH) platform.

Zeta’s SaaS suite encompasses every step of the customer lifecycle of a banking product, comprising the below offerings:

Commenting on the recent trajectory, Zeta’s Co-founder, Ramki Gaddipati said “Zeta’s mission to be a trusted partner to financial institutions is possible through the patient efforts of the best team ever assembled in banking technology. While the past few years have been challenging for the banking-tech industry, our organization has delivered multiple winning programs for our clients in record times.

About Zeta

Zeta is a next-gen banking technology company. Zeta’s platform enables financial institutions to launch extensible and compliant asset and liability products rapidly. Its cloud-native and fully API-enabled stack supports processing, issuing, lending, core banking, fraud, loyalty, digital banking apps, and many other capabilities.

Zeta has 1700+ employees with over 70% in technology roles across locations in the US, Middle East, and Asia – representing one of the largest and most capable teams ever assembled in banking tech. Globally, customers have issued 25M+ cards on Zeta’s platform. Visit us at www.zeta.tech or follow us on LinkedIn, YouTube, and X

For media queries, please contact:

Rishav Kumar
Manager, PR, and Analyst Relations
[email protected]

Eyes 50% of the $1Trillion Credit Line on UPI banking tech opportunity by 2030

Mumbai, May 10, 2024: Zeta, a provider of next-gen banking technology to financial institutions globally, announced the launch of its Digital Credit as a Service offering for banks. Zeta’s offering is underpinned by NPCI’s Credit Line on UPI scheme – which harnesses the power of the UPI network to turbo-charge credit issuance in India.  Zeta estimates that the transaction volume on this scheme will exceed $1 Trillion by 2030 and aims to capture 50% of this market opportunity with its end-to-end solution that can help banks conceive and rapidly launch multi-form credit products. 

India’s financial landscape today presents a unique dichotomy. TransUnion CIBIL has reported that more than 160 million Indians remain underserved by traditional credit channels. At the same time, banks have pre-approved credit for millions of customers but are unable to distribute loans to them efficiently. Unlike traditional loans, credit products that leverage Credit Line on UPI offer on-demand access through any PSP payment app leveraging a fully digital-native experience, allowing consumers to borrow precisely how much they need, when they need it. 

MCalling the Credit Line on UPI “a credit distribution superhighway”, Ramki Gaddipati, CEO APAC & Global CTO, Zeta, said, “This is a once-in-a-generation opportunity to change the credit inclusion landscape in India. By delivering credit at the point of need, Credit Line on UPI has hit a home run for banks by completely changing the discovery, access, and cost mechanics of retail lending. We’re excited to enable banks to serve the credit needs of millions of customers in this completely real-time, digital-native ecosystem.”

At the same time, Mr. Gaddipati highlighted the need for the banking ecosystem to prepare for hockey-stick growth in Credit Line on UPI similar to what India experienced when UPI was first launched. Sounding a note of caution on banks’ preparedness for Credit Line on UPI volumes, he added, “We saw UPI volumes put a strain on core banking systems. We anticipate similar volumes on Credit Line on UPI before long, and this calls for population-scale banking infrastructure capable of processing 100s of millions of credit accounts. We have pre-architected our solution for this from Day 1.” 

With a vision of democratizing access to banking, Zeta has built one of the most formidable teams in banking technology over the last decade and spent over $360 Million in building the most modern next-gen banking platform globally. Its Digital Credit as a Service offering provides a complete services and tech stack powered by Zeta’s cloud-native & next-gen core banking & payments platform that will enable banks to manage everything from originations to collections digitally.  

Zeta’s Digital Credit as a Service offering includes: 

• Pre-integrated systems to increase launch velocity (origination, issuance, collection, etc)
• Pre-bundled services to reduce operational overhead (customer service, operations, etc) 
• Wide range of product blueprints (EMI loans, merchant loans, agricultural loans, etc) 
• Out-of-the-box capabilities for operations, compliance, and regulatory reporting 
• Process consulting support to integrate Credit Line on UPI with existing bank systems 
• End-to-end program management to guide banks at every stage of the journey

The offering, which completely reimagines credit distribution as a modern digital-native journey, co-exists with a bank’s existing products and systems with minimal disruption to ongoing systems & processes while delivering: 

Munish Varma, Managing Partner, SoftBank Investment Advisers said, “Banking software is a $300 billion industry globally. Most banks still employ technology which is significantly older than their customers, impacting user experience and engagement. Zeta’s modern Omni Stack will drive banking software upgrades catering to the digital consumer, and innovations in financial services globally.”

• Swift go-to-market with a ready-to-launch and seamlessly pre-integrated solution
• Robust compliance with credit products that are compliant with the latest regulatory standards out-of-the-box 
• Customizable credit products covering the full range from secured loans backed by tangible assets to unsecured financing options for personal and business needs 
• Effortless integration that ensures a risk-free launch path
• Digital-first experience allowing users to discover and manage credit digitally
• Population-scale architecture to ensure zero scalability and downtime issues

Zeta’s Digital Credit as a Service offering includes:

Zeta is a next-gen banking technology company. Zeta’s platform enables financial institutions to
launch extensible and compliant banking asset and liability products rapidly. Its cloud-native and fully API-enabled stack supports processing, issuing, lending, core banking, fraud, loyalty, digital banking apps, and many other capabilities. Zeta has 1700+ employees with over 70% in technology roles across locations in the US, UK, Middle East, and Asia – representing one of the largest and most capable teams ever assembled in banking tech. Globally, customers have issued 20M+ cards on Zeta’s platform. Visit us at www.zeta.tech or follow us on LinkedIn, YouTube, and X. 

For media queries, please contact: 

Rishav Kumar
Manager, PR, and Analyst Relations
[email protected] 

Zeta’s valuation jumps to $ 1.45 billion in one of the largest single raises by a Banking Tech Startup

Bengaluru, May 24: Zeta, a banking tech startup, announced today that it has secured $250 million in investment from SoftBank Vision Fund 2. This Series C investment values Zeta at $1.45 billion. This is one of the largest single investments in a banking tech startup globally.

Banks work with dozens of tech vendors – most offering discrete pieces of functionality and archaic stacks that are older than the internet. Zeta’s Omni Stack provides all the functionality that banks need to launch new products relevant to consumers today.

“Most banks are using decades old software built when Mainframes and Cobol were in vogue. They have been slow to innovate and provide poor user experiences. With Zeta, FIs can leverage a modern, cloud native platform and improve speed to market, agility, cost to income ratio and user experience” said Bhavin Turakhia, CEO & Co-founder, Zeta. “We are privileged to have SoftBank join us in this exciting journey as we together disrupt the stagnant landscape of banking tech” Bhavin added.

Zeta’s Omni Stack comprises:

• Zeta Tachyon Credit, Debit and Prepaid processing with card controls and personal finance management capabilities
• Zeta Tachyon Loans – a modern Buy-Now-Pay-Later and personal loan management platform
• Zeta Tachyon Deposits – a modern core for DDA, checking accounts, savings accounts and deposits
• and Zeta Tachyon Mobile – a ready-made, white labeled, customizable mobile app for credit cards, checking accounts, prepaid, loans, Buy-Now-Pay-Later, personal finance management and more

Zeta counts amongst its customers over 10 Banks and 25 Fintechs, across 8 countries, including Sodexo, HDFC Bank, Kotak Mahindra Bank, Axis Bank, IndusInd Bank, Yes Bank, RBL Bank, SBM Bank India and others.

Munish Varma, Managing Partner, SoftBank Investment Advisers said, “Banking software is a $300 billion industry globally. Most banks still employ technology which is significantly older than their customers, impacting user experience and engagement. Zeta’s modern Omni Stack will drive banking software upgrades catering to the digital consumer, and innovations in financial services globally.”

A recent Aite Group study found that 61% of financial institution executives believe investment in newer technologies is the most important measure they must take to improve their customer experience. Zeta provides the only fully modern platform for banks that can be deployed in parallel for new programs and new customers without uprooting legacy technology. Banks across the globe have increased income, improved customer engagement and reduced fraud by leveraging Zeta’s Omni Stack.

Ramki Gaddipati, CTO & Co-founder, Zeta: “As the world moves to real time payments and digital financial services, the number of transactions per day between banks and customers are expected to grow exponentially. The increasingly digital world represents evolving security, privacy and data protection challenges to banks. The industry needs systems reinvented with security, privacy, scalability and reliability as the core foundations. Zeta’s Omni Stack answers that need.”

Sodexo participated as an additional minority investor in the round. The proceeds of this funding round will be used to accelerate Zeta’s growth in the United States, Europe and India including scaling its operations, team, and platform to meet the demands of its expanding customer base.

Founded by Bhavin Turakhia and Ramki Gaddipati, Zeta has presence in North America, LATAM, UK, Europe and Asia. Avendus Capital acted as the exclusive financial advisor on this transaction.