OneStack bags fresh funding from Shepherd's Hill, others
The funding round saw participation from its existing backers Pentathlon Ventures and AVNM Ventures.
2 min read
Fintech infrastructure startup OneStack has raised Rs 12.5 crore in a funding round led by new investor Shepherd's Hill, with participation from its existing backers Pentathlon Ventures and AVNM Ventures.
The Mumbai-based startup will use the fresh capital to strengthen OneStack's presence among cooperative banks and non-banking financial companies (NBFCs). The company also plans to invest in product development across payments, core banking and regulatory compliance.
Founded in 2019 by Amit Kapoor, OneStack builds technology infrastructure that enables smaller financial institutions to offer digital banking services without developing their own systems. Its product suite includes mobile banking, UPI issuing and merchant acquiring, QR payments, debit card management and its OneCBS core banking platform.
The startup said its platform allows cooperative banks to directly operate as UPI issuers and acquirers through the National Payments Corporation of India (NPCI), using their own bank handles. This enables them to issue UPI IDs, onboard merchants and manage settlements while retaining customer relationships, transaction data and MDR revenue. OneStack also offers NBFC-focused solutions for customer verification and fraud reporting, alongside regulatory compliance tools.
The company claims to serve more than 200 banks across India, including state cooperative banks, district central cooperative banks (DCCBs) and non-scheduled urban cooperative banks (NSUCBs). It has also partnered with a large private sector bank that sponsors over 250 cooperative banks, providing an opportunity to expand its banking and payment solutions across the network.
OneStack last raised $2 million in a Series A funding round in March 2025, led by Pentathlon Ventures, with participation from Yatra Angel Network and existing investors 100Unicorns and Venture Catalysts. With its latest round, the startup has raised Rs 45 crore across four funding rounds.
Other fintech infrastructure startups have also attracted investor interest. Banking infrastructure startup Knight Fintech raised $23.6 million in Series A funding, while Spense secured $2.8 million in seed funding.