ETechAces Marketing in talks with PE and VC funds for more than $20 million investment round

Insurance major ETechAces Marketing, the parent company of online financial services marketplaces PolicyBazaar and PaisaBazaar, is in talks with Private equity major True North (formerly India Value Fund) and venture capital firm IDG Ventures India to raise $20 million capital. While True North is expected to put in $15 million, IDG Ventures may invest $5 million. The firm is looking at more domestic investors to join this round to ensure it meets the 51% domestic investment criteria under the Insurance Regulatory and Development Authority of India. The investment round is being led by Wellington Management, one of the world’s largest asset management companies with $1 trillion under management.

Yashish Dahiya, CEO of PolicyBazaar, said that “The new funds will be used to expand PolicyBazaar and PaisaBazaar to new geographies and to also expand into newer categories of products apart from loans, credit cards and insurance. The company’s primary objective from the fundraise is to strengthen its balance sheet, as large online commerce players like Flipkart and Amazon India, which has backed rival BankBazaar, are also eyeing the space besides payments companies like Paytm”.