Digital debt recovery platform DPDzero has raised $7 million in a Series A funding round led by Japanese investment firm GMO Venture Partners, SMBC Asia Rising Fund and returning investor Blume Ventures.

 

The funding round also saw participation from India Quotient, Sinarmas Group, and several other investors, the company said.

The fresh capital will support the development of DPDzero's multilingual artificial intelligence (AI) collection system and facilitate the establishment of a network of professional field collection specialists.

The startup, founded by Ananth Shroff and Ranjith Ramachandra, said it achieved 6x revenue growth over the past 18 months. Its client portfolio spans fintech companies and non-banking financial companies including Tata Capital, Moneyview, L&T Finance, and Manappuram Finance. The platform also expects to onboard several major banks in the near future.

Prior to this funding round, the startup had raised $3.25 million in seed funding round in 2023 co-led by Blume and India Quotient.

Earlier,  DPDzero had secured a pre-seed funding round of Rs 3.9 crore ($470,000) led by Better Capital in June 2022. Notable angel investors who participated in earlier rounds include Kunal Shah from Cred, Ramanathan RV from Hyperface, Nishchay AG from Jar, Vijay Rajagopal from Amazon, and Nikhil Kumar from Setu.

The debt collection technology sector is experiencing increased early-stage investment activity, with companies like Rezolv raising $3.5 million from 3one4 Capital and CredResolve securing $1.1 million led by Unleash Capital.