OneCard, a fintech unicorn looking to raise $100 M at flat valuation: Report

OneCard [FPL Technologies], a mobile-first credit card startup, appears to be close to raising a new round without increasing its valuation, according to two sources with knowledge of the conversation. If approved, this would be the company’s first round of the year.

“OneCard is in discussions with new and existing investors to raise up to $100 million in Series E financing,” said one of the sources requesting anonymity. “The talks have reached into an advanced stage and the company is expecting a terms sheet soon but its valuation will hardly change.”

Sources claim that existing investors in the company, including Temasek, Peak XV Partners (formerly Sequoia), QED Holdings, and Ocean View Investments, will contribute to the round. Another source who also requested anonymity stated that “it’s also in talks with a couple of new investors who may join the Series E round”.

OneCard (FPL Technologies) provides co-branded credit to mostly first-time customers and boasts an app called OneScore with over 80 million users for tracking and managing credit scores. Following a $100 million Series D round led by Temasek, the company achieved unicorn status last year.

OneCard will be valued between $1.5 billion and $1.8 billion, according to sources. Peak XV is the largest shareholder in the Pune-based company, which, according to data intelligence platform TheKredible, was valued at $1.3 billion in its most recent round.

A Temasek spokesperson told the media, “As a matter of policy, Temasek does not comment on market speculation or rumours.” Peak XV declined to comment. Queries sent to OneCard, QED Holdings, and Ocean View Investments didn’t elicit any response. We will update the story in case they respond.

OneCard is in competition with Slice, which is backed by Tiger Global, and Uni, which provides co-branded credit cards with SMB Bank. Even though the company withheld its FY23 financial data, it ended FY2 with losses of Rs 183 crore and revenue that increased by almost 6X to Rs 88 crore.