Mobile-first credit card startup OneCard is all set to become the 104th unicorn of India and 19th in 2022, as it is raising $100 million in a new financing round with Temasek and Singaporean sovereign fund GIC, along with other existing investors investing $100 million at a post-money valuation of $1.2 billion.
OneCard offers first-time credit card users a virtual, cellphone-based card to build a credit score. It offers credit cards in collaboration with banks, including IDFC First Bank, SBM Bank, South Indian Bank, Federal Bank and Bank of Baroda Financial, with currently more than 600,000 users across the country.
This would be the second funding round in the past six months. The company, run by FPL Technologies, raised a $76 million Series C round led by QED Fund and was valued at $722 million.
The funding is coming at a time when the future of the buy now pay later (BNPL) platforms is shaky in the wake of a Reserve Bank of India (RBI) diktat that bars prepaid payment instrument providers from offering non-bank credit lines. The company along with its competition Slice, Uni, Fi and others are busy figuring out their next moves.
