Solvy Tech Solutions, which runs insurtech platform Zopper, has raised $75 million from investors led by Creaegis to fund its expansion plan. The funding round saw participation from ICICI Venture and Bessemer Venture Partners, and existing backer Blume Ventures, according to the New Delhi-based company. Zopper cofounder Surjendu Kuila said that the capital will be used to support the international expansion of Zopper, to beef up the platform’s technology and data engineering functions, and for strategic acquisitions.

By the end of the current fiscal, the headcount at Zopper is expected to grow to more than 600 from 475 now. Most of the hiring will be across functions of technology, data science and data engineering, the company said. Zopper, founded in 2011, provides an application programming interface (API)-based software platform which connects insurers and banks with third-party platforms. Through the integration, it allows these platforms to embed and distribute insurance products to their customers.

Among the modules offered by Zopper, as a part of its API-based software platform, are policy issuance, policy administration, claim management, regulatory reporting along with a lead management and campaign management system. The company works with 150 platform partners, including Equitas Small Finance Bank, fintechs such as Ola, Cars24 and Cashe; regional and rural banks as well as assurance and extended warranty providers such as Croma, Panasonic, Hitachi and Xiaomi.

Solvy Tech Solutions had last raised $20 million in May 2015 from Tiger Global and Nirvana Ventures Advisors. “We have been able to sustain ourselves and have raised capital after seven years. The reason behind raising capital now was that we wanted to grow significantly and realised that there was a large land-grab opportunity for us, in the space we operate in,” Kuila, who is also the chief executive officer, said. In 2018, digital payments company PhonePe had acquired the point-of-sale arm of Solvy Tech, called Zopper Retail, which served as a hyperlocal mobile marketplace for small and medium-sized businesses. As a part of the deal, Neeraj Jain, one of Zopper’s founders, had joined PhonePe along with a large section of the company’s technology and sales team.

“To PhonePe, it was an asset sale and the proceedings of the deal were clocked as revenues on Zopper’s books. There was no change in the parent’s shareholding and neither did PhonePe take a stake in the holding company,” explained Mayank Gupta, cofounder and chief operating officer of Zopper. Zopper is now scouting for acquisitions across its adjacent business lines of insurance claims and distribution. It will look to make at least two new acquisitions in the next one year, to help with increasing its margins.

“We will look at acquisitions which will help our core business in two ways. First is to help create a basket or bouquet of insurance products which will help increase our margins. Second is onboarding interesting platforms to make our technology stack more frictionless,” Kuila said. The company is also eyeing markets of Southeast Asia and the Gulf Cooperation Council (GCC) region to begin its international pilots.

According to Kuila, the company has been profitable for the last 18 months, and clocked Rs 70 crore in revenue in FY22, while processing Rs 340 crore of gross written premium. It is now eyeing a revenue of Rs 200 crore by the end of FY23 and looks to process Rs 1,000 crore of gross written premium by the end of the current fiscal. The platform earns through a technology fee from services provided to insurer banks, as well from the cut it takes from platforms on every policy sold. It powers sales of 375,000 new insurance policies every month.