VC fund NYCA Partners participated in the fundraising, as did existing investors MassMutual Ventures and Endiya Partners and angels like Anjali Bansal of Avaana Capital and Udaan cofounder Sujeet Kumar.
The fresh capital will be used to add more software products, liquidity solutions and a digital marketplace for private securities in the Southeast Asia region, as well as for growing the client base in Singapore, Indonesia and India, according to a statement issued Wednesday.
Qapita has previously raised $7.25 million in earlier rounds.
Founded in September 2019 by Ravi Ravulaparthi, Lakshman Gupta and Vamsee Mohan, Qapita Fintech Pte Ltd has built software for private companies, particularly startups, to manage their cap table and employee stock options pool. The software solves pain points relating to HR (ESOPs), finance and fundraising for private companies, investors, shareholders and employees.
Qapita expects the value of private securities in the Southeast Asia region to exceed $1-1.5 trillion in the next few years and believes that an “operating system” is necessary for this market to thrive.
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“It is an incredible time to build an operating system and transaction rails for private company ownership in this (Southeast Asian) region,” CEO Ravulaparthi said. “This is about leveraging tech to enhance transparency, access, efficiency and liquidity in private markets. Team Qapita is full of gratitude to our investors, partners and well-wishers joining us on this quest.”
Qapita estimates that more than $150 billion of equity will need liquidity solutions. Its marketplace will enable secondary transactions for stakeholders in the private markets.
“East Ventures is excited to double down its investment in Qapita to build an operating system for private markets in this region,” said Willson Cuaca, cofounder and managing partner of East Ventures. “This platform can become the connective tissue between private companies, their employees, shareholders and investors on all equity related matters.”
The Qapita team has grown from seven people a year ago to about 65 people today across Singapore and India. It plans to scale up talent across India, Indonesia and Singapore in the near future.