Greytip Software Pvt. Ltd, which provides cloud-based human resources and payroll management software to small and medium businesses, has raised Rs 34.5 crore ($4.9 million) in its Series C round of funding from Info Edge (India) Ltd.
Funds advised by MegaDelta Capital, an existing investor, also participated in this funding round, Greytip said in a statement.
MegaDelta was founded by individuals who formerly set up New Enterprise Associates India, which had invested in Greytip in 2016.
Separately, Info Edge said in a stock-exchange filing it will hold a stake of about 20.25% in Greytip after the capital infusion.
The fresh capital will help the company enter new markets, drive its sales and marketing operations and increase its customer base.
Greytip was founded in 1994 by Girish Rowjee and Sayeed Anjum, both alumni of Sri Jayachamarajendra College Of Engineering, Mysore. Its flagship product—greytHR—helps companies streamline HR operations and manage their payroll processes and statutory compliances.
The company said it has more than 9,000 customers and it generates 1 million payslips on the platform every month. It has presence in 150 cities across India and the Middle East.
"We believe Greytip has built a strong B2B SaaS business in a segment which has been traditionally underserved and have been tough for technology companies in India to penetrate,” said Chintan Thakkar, CFO at Info Edge.
Human resource technology startups have been attracting investor interest in recent years. Such startups seek to address India’s growing need for talent while addressing gaps in traditional HR systems.
Last month, Darwinbox Digital Solutions Pvt. Ltd, an enterprise HR management platform, raised $15 million (Rs 106 crore) in a Series B round of funding led by Sequoia Capital India.
In August, Talview Inc. raised $6.75 million in its Series A round of funding from investors such as the US-based Storm Ventures, Inventus Capital, Eileses Capital and Emergent Ventures.
Info Edge
The technology firm owns and operates portals such as jobs site Naukri.com, real estate portal 99acres.com, matrimonial website Jeevansathi and education services portal Shiksha.
Besides, it holds stakes in several technology firms such as restaurant search platform Zomato, ed-tech entity NoPaperForms, online insurance aggregator PolicyBazaar and e-learning firm Meritnation.
Earlier this month, it invested Rs 6 crore more in Happily Unmarried Marketing Pvt. Ltd, a lifestyle brand which sells grooming products.
In August, the company put an additional Rs 47 crore in ShopKirana E-Trading Pvt. Ltd, an e-commerce platform. The investment was part of a larger Rs 71.4 crore Series B fundraising round by ShopKirana.