Fintech platform Zeta on Tuesday secured a series C investment from Sodexo Benefits and Rewards (BRS), at a valuation of $300 million. Sodexo has picked up a minority stake in Zeta as part of the deal. Though the investment amount stands undisclosed.
With this new capital, Zeta will look at expanding its business in the United States, United Kingdom, Europe and SouthEast Asia.
Zeta is an Indian FinTech company, co-founded by entrepreneurs Bhavin Turakhia and Ramki Gaddipati in 2015. The company offers digitized enterprise solutions for employee tax benefits, automated cafeterias, employee gifting and digital payments. It is available on iOS and Android. It is owned by Directi. Zeta currently has 1.9 million active users.
Turakhia, co-founder and CEO of Zeta, said: “Today’s banking and fin-tech ecosystem requires cloud-native, privacy-aware, inherently secure, API first banking and payment solutions. The United States will be one of the most important markets for us, and we have already started hiring a senior leadership team who will drive the business in the country.”
This is the first time Zeta has raised money from an outside party, In 2016, Bhavin Turakhia invested around $19 million into Zeta. Initially, Zeta payments were only supported by the MasterCard network but later the company also tied-up with the National Payments Corporation of India’s RuPay.
In June 2017, the company invested 5-10 crore to buy a minority stake in an HR solutions company called ZingHR. In January 2018, Zeta bought a minority stake in PeopleStrong.
Zeta has partnerships with IDFC Bank, Sodexo, Excelity Global, Kotak Mahindra Bank and RBL Bank. And with recently collaborations with Sodexo, Zeta feels it will add value to the company
Sodexo is a French food services and facilities management company headquartered in the Paris. Sodexo is one of the world’s largest multinational corporations, with 420,000 employees that represent 130 nationalities and are present on 34,000 sites in 80 countries.
Sodexo provides companies and public authorities with meal passes, restaurant vouchers, mobility passes, leisure passes, book cards, and training vouchers. They serves many sectors, including private corporations, government agencies, schools from preschool through university, hospitals and clinics, assisted-living facilities, military bases, and prisons
In a statement, Aurelien Sonet, CEO, BRS at Sodexo, said, “Sodexo has been a strategic partner of Zeta since 2017. This investment will enable the Sodexo group to benefit from Zeta’s comprehensive suite of solutions and offer a seamless payment experience to our consumers. Zeta and Sodexo are already working together on deploying Zeta’s platform across several Sodexo subsidiaries across different regions.”