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GrayQuest Secures ₹80 Crore Series B Funding to Expand Educational Fintech Solutions

A professional individual wearing a white shirt is centered against a purple background with a repeating circular pattern. An orange banner with their name, "Rishab Mehta," is displayed, along with their title, "Co-Founder, GrayQuest," on a blue ribbon.
By
Anurag Trivedi
3 min read

GrayQuest, a Mumbai-based fintech startup specializing in educational fee payment solutions, has successfully raised ₹80 crore (around $9.3 million) in a Series B funding round. The round was led by IIFL Fintech Fund and Claypond Capital, the family office of Manipal Group chairman Ranjan Pai, with continued support from existing investor Pravega Ventures.

Key Highlights:

  • Funding Details: The ₹80 crore investment follows GrayQuest's previous ₹56 crore (approximately $7 million) Series A round in March 2023, which was led by Pravega Ventures with participation from family investors such as Weizmann Group, Telama Family Office, and Apurva Parekh from the Pidilite Family Office.
  • Investor Profiles:
    • IIFL Fintech Fund: A prominent investment fund focusing on innovative fintech startups in India.
    • Claypond Capital: The family office of Ranjan Pai, chairman of the Manipal Group, known for strategic investments in the education and healthcare sectors.
    • Pravega Ventures: An existing investor in GrayQuest, continuing its support in this Series B round.
  • Founder Insight: Rishab Mehta, founder and CEO of GrayQuest, stated that the new funds will be utilized to enhance the company's technology platform and expand its services to more educational institutions across India.

About GrayQuest:

Established in 2017 by Rishab Mehta, GrayQuest offers a comprehensive platform for educational institutions to digitize fee collection processes. The platform provides students and parents with flexible payment solutions, including equated monthly installments (EMIs) and subscription models where fees are automatically debited from the parent's account. This approach aims to make education more affordable by allowing families to spread the cost over manageable monthly payments instead of large lump sums.

Market Context:

The education-focused fintech sector in India has witnessed significant growth, with startups collectively securing substantial funding over the past two years. GrayQuest's latest funding round positions it to further capitalize on this trend by expanding its reach and enhancing its technological capabilities to better serve educational institutions and families nationwide.

Our Opinion on the News:

GrayQuest's successful Series B funding round underscores the growing investor confidence in fintech solutions tailored to the education sector. By addressing the financial challenges associated with lump-sum educational fees, GrayQuest is well-positioned to alleviate the burden on families and enhance access to quality education across India. The involvement of prominent investors like IIFL Fintech Fund and Claypond Capital not only provides substantial financial backing but also strategic support that could facilitate GrayQuest's expansion and technological advancement. As the company scales its operations, it is poised to play a pivotal role in the digitization of educational fee payments, contributing to the broader fintech ecosystem's growth in the country.

Source: Economic Times