Cash management services provider RCI Cash Management Services has raised an undisclosed amount in a Series A round of funding from Small Industries Development Bank of India’s (SIDBI) India Opportunities Fund (IOF).
RCI Cash Management plans to use the money to strengthen operations in cash replenishment services and enable it to enter the cash delivery and pickup (CDP) segment and cash-in transit (CIT) business for banks as well as large- and medium-sized corporates.
Founded in 2012 by payment services industry veteran Sudip Kumar and surface transportation specialist Pawan Gupta, the startup offers cash replenishment services for banks and white label ATM networks.
“We have grown to more than 5,000 ATMs in two-and-a-half years and will continue to scale up given our differentiated offering which enable customers to maintain control over their ATM network,” said Sudip Kumar, director at RCI Cash Management. Kumar and Gupta had previously founded logistics firm RCI Logistics.
Intellecap acted as advisor to RCI Cash Management for the transaction.
Earlier in July, IOF had invested Rs 15 crore (about $2.4 million) in business intelligence and enterprise analytics startup Pragmatix Services Pvt Ltd.
IOF was floated in 2011 to provide growth capital to micro, small and medium enterprises operating in emerging sectors such as light engineering, clean-tech, agro-based industries, logistics, infrastructure, educational services and IT/ITES.
In addition to IOF, SIDBI operates three funds—Samridhi Fund, SME Growth Fund and National Venture Fund For Software and IT Industry (NFSIT).