Trading platform Dhan turns unicorn with $120 million fundraise led by Hornbill Capital

Bengaluru: Raise Financial Services (Raise), the parent company of stock trading platform Dhan, has entered the unicorn club with $120 million fundraise, led by Hornbill Capital and participation from MUFG and BEENEXT. The round values the company at $1.20 billion.

The funding round also saw participation from public market investors Ramesh Damani, DSP Family Office, JM Financial Family Office, Aashish Somaiyaa and others. The platform has nearly 1 million active users.

“We are humbled to have found early success and product-market fit for Dhan amongst the Indian retail trading community. With this investment, we're excited to grow, innovate and double down on our focus on Dhan, and at the same time introduce new products that are focused on Investing, AI and expand into the distribution of Financial Services,” said Pravin Jadhav, Founder and CEO, Raise Financial Services.

Headquartered in Mumbai, Raise Financial Services was founded in January 2021 by serial entrepreneur Pravin Jadhav, ex-Founder and CEO of Paytm Money, along with Alok Pandey, Jay Prakash Gupta and Raunak Rathi.

“Hornbill Capital has tracked and invested in leaders of India’s capital markets for over a decade. In less than four years, Dhan – driven by a product-first mindset, strong technology focus, and relentless innovation – has built one of India’s leading stock trading platforms in a profitable and capital-efficient manner," said Manoj Thakur, Founder of Hornbill Capital.

Avendus Capital acted as the exclusive financial advisor to Raise and its investors, and Veritas Legal acted as a legal advisor to Raise and its shareholders for the transaction.

“Digital adoption is accelerating access to financial products in India, creating a strong foundation for innovative platforms. Dhan has built deeply customer-centric, technology-led products that deliver speed and reliability at scale. MUFG is excited to back founders Pravin, Alok, Jay – leaders with extensive experience and a proven track record of building impactful products in the technology space – as they continue to strengthen their position and expand their offerings for millions of investors & traders in India,” said Shashank Joshi, Deputy CEO at MUFG India.