Raise Financial Services, the parent company of retail stockbroking platform Dhan, has officially entered the unicorn club after raising $120 million in a fresh funding round. The investment was led by Hornbill Capital, an India-focused hedge fund, and Mitsubishi UFJ Financial Group (MUFG), one of Japan’s largest financial institutions.
The latest funding pegs Raise Financial’s valuation at $1.2 billion, marking an impressive 10X jump from its $150 million valuation in 2021 — a testament to the company’s rapid growth, profitability, and strong product-market fit.
Credits: The Economic Times
A Long-Awaited Round Amid a Tightening Regulatory Environment
The fundraise, which had been in the works for over a year, comes at a crucial time when India’s market regulator, SEBI, has been tightening compliance norms for stockbroking and trading platforms. Despite the evolving regulatory landscape, Dhan has managed to emerge as one of the most trusted and technology-driven platforms for Indian retail investors.
Apart from Hornbill Capital and MUFG, several high-profile investors also participated in this round, including Ramesh Damani, DSP Family Office, JM Financial Family Office, Aashish Somaiyaa, and existing backer Beenext.
The deal was originally expected to be larger, but talks with Alpha Wave, which was previously in discussions to join the round, did not materialize. Without Alpha Wave’s participation, the company decided to close the round at $120 million instead of the initially proposed $200 million.
“We’re Doubling Down on Dhan”: CEO Pravin Jadhav
Expressing gratitude for the investor confidence, Pravin Jadhav, Founder and CEO of Raise Financial Services, said the funding would help the company strengthen its core platform and expand into new verticals.
“We are humbled to have found early success and product-market fit for Dhan amongst the Indian retail trading community. With this investment, we’re excited to grow, innovate, and double down on our focus on Dhan. At the same time, we’ll introduce new products focused on investing, AI, and expand into distribution of financial services,” Jadhav said.
In less than four years, Dhan has built a reputation for being a product-first, technology-led trading app that prioritizes performance, simplicity, and transparency. Its fast execution engine, powerful charting tools, and integration with platforms like TradingView have made it a go-to choice for active retail traders in India.
Backers See a Tech-First Financial Powerhouse Emerging
Hornbill Capital’s founder Manoj Thakur praised Dhan’s disciplined growth and innovation-driven approach.
“In less than four years, Dhan – driven by a product-first mindset, strong technology focus, and relentless innovation – has built one of India’s leading stock trading platforms in a profitable and capital-efficient manner,” Thakur said.
Beenext’s Managing Partner Hero Choudhary added that the firm is deepening its commitment to Raise as it expands its tech-driven financial ecosystem in India. Beenext’s limited partner, MUFG, echoed the sentiment, noting that India’s digital adoption is accelerating access to financial products and paving the way for companies like Dhan to thrive.
“Dhan has built deeply customer-centric, technology-led products that deliver speed and reliability at scale,” said Shashank Joshi, Deputy CEO at MUFG India.
Expanding the Financial Ecosystem: From Learning to AI
Dhan plans to use the fresh capital to strengthen its ecosystem of financial products, particularly those focused on education, analytics, and market insights.
The company operates several complementary platforms, including:
- ScanX – a research and insights hub for market analysis and stock screening.
- Upsurge – an educational platform designed to teach financial literacy and trading skills.
- Filter Coffee – a content brand offering byte-sized financial updates tailored for Gen Z and millennial audiences.
Beyond these, Raise Financial also unveiled Fuzz, its AI model trained on large-scale financial datasets designed to generate contextual, source-backed insights for Indian investors. This marks a significant step toward integrating artificial intelligence into investment decision-making.
Credits: Inc42
Competing in India’s High-Stakes Broking Market
With this milestone, Dhan now joins the ranks of India’s top investment platforms, competing directly with Zerodha and IPO-bound Groww. The infusion of fresh capital is expected to help it scale product innovation, attract more users, and further solidify its place in India’s fast-evolving retail investing ecosystem.
As Dhan continues to expand its reach and capabilities, its unicorn valuation underscores not just the company’s success, but also the growing investor confidence in India’s fintech and wealth-tech revolution.
