Rising one-year-old fintech startup, TAG Innovation Pvt. Limited, has raised over $12 million in Pakistan’s largest seed funding round in the South Asian market. This promotes the startup’s total financing to date to over $17.5 million and raises the firm’s valuation to around $100 million.
Liberty City Ventures, Canaan Partners, Addition, Mantis and Banana Capital, and others financed the largest seed funding round. This is the first time many of these investors, including Lee Fixel’s Addition, have invested in a Pakistani startup.
With the Raised Funding, Tag to become Both Revolut and Paytm in Pakistan
Furthermore, the latest raised investment took just two weeks to close, Tag founder and chief executive Talal Gondal stated in an interview. The investor’s enthusiasm for Tag comes as the startup develops one of the vital railroads for users in Pakistan. “We are trying to become both Revolut and Paytm in Pakistan,” the 29-year-old founder said.
Fintech Startup Tag Offers Banking Services
Furthermore, the fintech startup TAG partners with public and private companies to offer their employees banking services including receiving their salaries on the Tag account and Visa-powered virtual and physical cards. Signing up on Tag — which involves some verification of an individual’s identity — just takes three minutes, he said.
Fintech Startup Tag Offers Banking and Financial Services
Moreover, the company also offers a range of B2C offerings such as the ability to pay others online and top up utility bills that are available to any user in Pakistan who signs up to the platform. “We eventually want to offer the complete set of banking and financial services to users in Pakistan,” he said.
Prior to starting fintech startup Tag, Gondal served as an investor for seven years in Europe. He told he had long decided to return to Pakistan and start a company to serve people in his home country but was waiting for the right moment. Moreover, the startup ecosystem in Pakistan has received a major boost this year with the arrival of high-profile investors including those supporting Tag as well as Harry Stebbings’ 20 VC and Josh Buckley’s Buckley Ventures.
TAG to Build a Regional Fintech Powerhouse
Gondal stated that the fintech startup is now working to expand its product offerings and appoint talent to win the trust of the market. “Liberty City Ventures is proud to support a visionary leader like Talal in his efforts to expand financial inclusion for the underserved and underbanked,” said Murtaza Akbar, Managing Partner at Liberty City Ventures, in a statement. “We expect the world-class team he has assembled at TAG to build a regional Fintech powerhouse.”