Neobanking Startup Niyo Introduces Second ESOP Buyback Plan In 2022

Neobanking startup Niyo has initiated its second employee stock ownership plan (ESOP) for employees.

Under the latest ESOP liquidity program, eligible employees, those with a good performance record in the past years, need to be working in Niyo for over two years.

Earlier in April, Niyo had introduced an over INR 40 Cr ESOP liquidity program for employees as part of its annual appraisal, according to the statement.

“We have doubled our business volume over the last one year and have created a formidable brand. The growth is a testimony of the hard work demonstrated by our team members. The second ESOP buyback plan is our humble effort to convey our gratitude to the team that has stayed with us,” said Vinay Bagri, cofounder and CEO of Niyo.

Set up in 2015 by Virender Bisht and Vinay Bagri, Niyo offers online savings accounts and other allied banking services in association with banks. It presently has a headcount of 500. It said that it has begun issuing credit cards and also forayed into the insurance sector.

Besides, in July, Niyo secured $30 Mn funding from Multiples Alternate Asset Management.

Prior to that, it bagged $100 Mn in Series C funding round in February this year. The round was led by Accel and Lightrock India while Beams Fintech Fund, Prime Venture Partners, and JS Capital also participated in the round.

So far, Niyo has raised a total of $180 Mn from investors. Besides, the startup has also acquired two companies–Index and Goalwise for an undisclosed amount.

Niyo claims to be serving over 5 Mn customers and over 6K enterprises across banking and wealth management sectors. It further asserts that more than 10K new users are being daily added to its platform.  

 Niyo’s cap table includes Accel, Lightrock, Multiples, Prime Venture Partners, Horizons Ventures, Tencent, JS Capital, Social Capital, and Beams Fintech Fund.

As per an Inc42 report, the Indian fintech industry is likely to become a $1.3 Tn market by 2025. Of this, the neobanking is a sub-sector that will be doubling down its market size to $97 Mn by 2025.

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