Zeta, a next-generation banking technology provider for financial institutions globally, announced a $50 million investment from a strategic investor bringing its valuation to $2 billion.
Zeta became a unicorn back in 2021, with a valuation of $1.15 billion during its Series C funding led by SoftBank Vision Fund 2.
Established by Bhavin Turakhia and Ramki Gaddipati, Zeta provides a cutting-edge cloud-native platform, that enables various financial institutions to launch asset and liability products, including credit cards, loans, and savings accounts. Zeta’s groundbreaking API-driven and microservices-based solutions help banks seamlessly transition from older legacy systems to modern digital experiences.
The United States is Zeta’s largest market, followed by India, where the company generates an annual revenue of over $50 million. While Zeta is in discussions with several large U.S. banks, its executives acknowledge that such partnerships often take years to materialize.
The startup also counts Mastercard as one of its backers. It currently serves 25 million accounts through its platform and is contracted to add another 25 million. Zeta’s flagship customer in India is the country’s largest private lender HDFC Bank. The startup also works with Pluxee, a global corporate benefits provider, and Sparrow Financial, a U.S.-based credit card issuer.
Co-founder, Ramki Gaddipati, explained, “Zeta’s mission to be a trusted partner to financial institutions is powered by the tireless efforts of the best team in banking tech. We’ve delivered multiple winning programs for clients in record time, solidifying our position as a leader in the industry.”
Since its inception, Zeta has invested around $400 million in its platform and expects to become profitable by March 2026.
Looking ahead, Zeta’s CEO and Co-founderTurakhia has set an ambitious goal:
“Over the next decade, we intend to capture 25% of the market share. That has never been done before, as most of the industry’s market share was secured decades ago through acquisitions.”
Today, Zeta employs 1,700 people across the U.S., the Middle East, and Asia. Despite the latest funding, Turakhia emphasized that the company didn’t need to raise capital, stating: “In all likelihood, this $50 million is going to sit in the bank. This investment reflects a reaffirmation of our journey.”
