The asset and wealth management company Neo has completed a private placement to raise Rs 32 crore, or almost $4 million. The Mumbai-based company is investing for the first time in 2024 with this round.
Neo’s regulatory filing, accessed from the Registrar of Companies (RoC), indicates that the board of directors approved a special resolution to issue 1226 equity shares at an issue price of Rs 2,60,799 each in order to raise Rs 32 crore, or roughly $3.85 million.
In addition to SN Damani Developers and Bridgemonte Advisors, who contributed Rs. 10 crore and Rs. 2 crores, respectively, Morde Foods invested Rs. 20 crores.
The company states that the money will be utilized for operations and expansion. The company’s post-allotment valuation, according to media estimates, is approximately Rs 1,349 crore, or $162.5 million.
After the latest round of funding, S N Damani Developers and Bridgemonte Advisors will control 0.74% and 0.15% of Neo Wealth’s capital, respectively, with Morde Foods holding a 1.48% stake.
Including its $35 million Series B round led by Peak XV (formerly Sequoia Capital) in October of last year, the company has raised about $78 million to date.
Established by Nitin Jain, Neo offers yield-based investment solutions and advisory services to some of the nation’s wealthiest billionaires, claiming to do so in an open and economical manner.
The company states that it has $360 million (approximately Rs 3,000 crore) in assets under management (AUM) and over $3 billion (nearly Rs 25,000 crore) in assets under advisement (AUA).
Neo’s fiscal year ended in March 2023 saw a 9X growth in revenue to Rs 65.1 crore with a meager loss of Rs 3.6 crore. The company still hasn’t submitted its FY24 annual report.
