The freshly raised capital will be deployed towards acquisitions and expanding presence in key international markets, said Ashok Hariharan, co-founder and chief executive officer (CEO), IDfy.
The funding round was a mix of primary and secondary, with existing investors such as Blume Ventures, Analog Capital, Elev8, IndiaMART, and Kae Capital participating in the round.
Backers such as TransUnion, Dream Incubator, early angel investors, and existing and former employees were part of the secondary transaction in this round.
“We are not looking at it purely from just revenue, so how would it integrate into our products and how would those products fundamentally get enhanced,” Hariharan told Business Standard.
Even as the firm evaluates inorganic opportunities, he said future transactions could be structured as a mix of equity and cash or as all-cash deals, depending on the size of the acquisition.
When it comes to acquisitions, he explained that the firm was looking at players that can enable IDfy’s market entry integrated through its homegrown tech, and capabilities that can improve its existing platforms such as onboarding, risk, and privacy.
“For example, on the risk side, it might be data or something proprietary, which allows us to make better judgments on risk. On privacy, enabling data protection and security, along with privacy,” he said.
The firm will also focus on expanding its international footprint, building on its existing presence in Southeast Asia, including the Philippines.
IDfy will double down on the Middle Eastern market, which Hariharan said was already a profitable business.
Currently, the company’s international businesses account for around 18 per cent of its total revenues.
The company has more than 500 enterprise clients across more than 10 different sectors.
