Regtech startup Idfy secures Rs 476 crore from Neo Asset Management and existing investors

Mumbai-based regulatory technology startup Idfy has secured Rs 476 crore ($52 million) in a funding round led by Neo Asset Management, along with the participation of existing investors Blume Ventures, Analog Capital, Elev8 and others.

Idfy had last raised around $17 million in 2024 from Indiamart, Elev8 and others.

While the company did not disclose the details of the round, filings with the Ministry of Corporate Affairs (MCA) show that out of the total Rs 476 crore, Rs 220 crore is in primary infusion and the rest is secondary.


While the primary capital is infused into the company, secondary funds go to buy shares of existing investors.

Speaking with ET, Ashok Hariharan, cofounder, Idfy said that the funds will primarily be used to support inorganic growth opportunities in India and abroad.

“We are profitable, hence our daily operations can be run with internal accruals, the funds will primarily be used to scout for acquisition targets which can help us quickly grow our business,” Hariharan said.

According to the details filed with the MCA, around Rs 189 crore was infused by Neo Asset management through its multiple funds, Rs 11 crore has come from Indiamart and Analog Capital each, Rs 5 crore from Elev8 and Rs 1.7 crore from Kae Capital.

Idfy is a technology player which works with banks, non-banking finance companies (NBFCs) and others to offer a technology stack which can power customer onboarding, fraud checks and help in compliance for financial services companies. Additionally data privacy-related services are also offered through the platform

“We work with 70% of the large NBFCs and banks in the country in some form or the other,” Hariharan said.

The company has also started expanding overseas with business units being built in Southeast Asia and the West Asian countries. Hariharan said that they have a physical presence already in the Philippines and Indonesia. The next target is to build teams in the Gulf countries. In FY25, Idfy reported operating revenue of Rs 189 crore and a net profit of Rs 1.6 crore.

Armed with the fresh funds Idfy wants to go deeper into countries it already operates in, enter newer geographies, deepen relationship with existing banks and also acquire new customers.

“In this overall growth strategy acquisitions might become very helpful,” he said.