ToneTag bags Rs 674 Cr in Series B2 round led by ValueQuest S.C.A.L.E. Fund
ToneTag provides a business-to-business SaaS solution that enables banks and fintech companies to integrate soundwave-based payments into their platforms.
ToneTag, a provider of voice-based payment and commerce solutions, has secured Rs 674 crore in a Series B2 funding round led by ValueQuest S.C.A.L.E. Fund.
The round also saw participation from Iron Pillar, Elevate Inflection Capital LLC, and existing investor Elevate Innovation Partners LLC.
The investment includes a mix of primary and secondary capital.
The capital will be used to enhance ToneTag’s payment infrastructure, accelerate international expansion, and fuel research and development.
Founded by Kumar Abhishek, ToneTag provides a business-to-business SaaS solution that enables banks and fintech companies to integrate soundwave-based payments into their platforms. The company, which facilitates over 30 million interactions daily using its proprietary soundwave technology, aims to improve digital payment accessibility in both developed and emerging markets.
"We believe ToneTag can play a crucial role in deepening and widening the UPI user base in both feature and non-feature phones in India. Iron Pillar is also keen on partnering ToneTag in its foray into newer markets such as GCC, Southeast Asia and South America," said Ashok Ananthakrishnan, Partner at Iron Pillar.
Pushkar Jauhari, MD & Head of Private Equity at ValueQuest said, “India's digital payment landscape has been growing rapidly, and we are excited to partner with ToneTag. ToneTag’s innovative voice-based technology coupled with regulatory and customer validation positions it well to capture market opportunity."
Sridhar Chityala of Elevate Inflection Capital LLC and Elevate Innovation Partners LLC, said, "Powered by patented soundwave communication protocols for device-to-device engagement operating on mobile infrastructure, democratization of payments is now a reality. ToneTag service is unique that it operates both under digital and analog protocols. Thanks to India for the UPI payment protocol that it has dedicated to the industry, digitisaation of payments is skyrocketing in India."
The financing round was facilitated by investment banking firm Probhus Ventures, while operational support came from JAA Associates and legal consulting from Lex Connect Consulting.
Edited by Swetha Kannan