Canada’s largest pension fund, CPPIB, and Lightspeed Growth as well as existing investors Intact Ventures and Munich Re Ventures also participated in the funding round.
reported on June 29 that the Bengaluru-based company was in talks with General Atlantic and others for infusing capital. Acko which is the newest Indian unicorn was last valued at around $400 million last year. Unicorns are privately held companies valued at $1 billion or more.
The latest fundraise is also expected to have a secondary component, which is likely to take the round size to more than $300 million, a person in the know said. Secondary transaction involves an existing shareholder selling their stake to an incoming investor.
The fresh capital will go towards investment in the health insurance market.
“As many as 80% of the people who can buy health insurance still don’t have it in India, so the market is very large and untapped. It’s not a winner take all market and easily 10-20 large insurance manufacturers and brands can exist here like how it is globally…” Varun Dua, the cofounder and chief executive of Acko, told ET. “We are targeting 100-150 million digitally native Indians to provide them with insurance products focused on auto, health…”