Users of the new-age investment platform, Grip Invest have become shareholders in the company through a user-led equity funding round. Announcing this, the company said in a press statement that the funding round initiated on strong demand from its users, saw Grip secure $1 million. Grip provided its top 200 users the opportunity to invest via convertible notes which they will be able to convert into equity at a 20 perent discount in the next funding round.
This is a first in the Indian startup ecosystem, where a privately owned company has presented an unique opportunity to its users to become shareholders in the firm, the company said.
Nikhil Aggarwal, Founder & CEO, Grip Invest, said, “Since we closed our last funding round, there was a growing demand from our users to present an opportunity where they can contribute towards the making of a tech-driven new-age investment platform. Based on the user demand, we offered this to our most engaged users and they showed immense love and belief to set us on a path to reinvent the investment landscape in India.”
Grip Invest received strong demand from its users, who have been actively investing through the alternative investment platform. Close to 100 users participated in the round.
Vivek Gulati, Co-founder & COO, Grip Invest, said, "Drawing on the trust our users have reposed in us and from the success of this initiative, we will continue to offer similar opportunities to more users in the near future.”
With this round, the total funds raised by Grip stands at $4.6 million. The company aims to utilize the funding to strengthen its team, augment its product portfolio and develop best-in-class features to enhance the digital investment experience.
Aashish Jindal, Co-founder & CPO, Grip Invest said, “I am happy to deepen our relationship with our users, who will now become company shareholders.”
The initiative comes as Grip Invest is looking to create a new asset-backed non-market linked investment category. Previously, Grip Invest had raised $3 million in a Series A round led by Venture Highway and Endiya Partners.
