Neo Group raises 400 crore

Wealth and asset management firm Neo Group has successfully raised Rs 400 crore (approximately $48 million) in its latest funding round, led by Japan's MUFG Bank and New York's Euclidean Capital. This round follows a $35 million investment from Peak XV Partners in October 2023, bringing Neo's total equity capital to approximately Rs 1,000 crore. The funds will be used to expand Neo's wealth management division and enhance support for its asset management business, which currently manages Rs 35,000 crore in wealth assets. Neo, launched in 2021, offers tailored financial advisory services to high-net-worth individuals (HNIs) and ultra-HNIs, aiming to capture a growing affluent market in India. The investment also marks MUFG Bank's first foray into India's wealth management sector, indicating a significant opportunity for growth in this market. Neo's revenue has seen substantial growth, reporting Rs 65 crore for FY23, with plans for further expansion and innovative investment solutions.