Zeta, a next-generation banking technology provider serving financial institutions worldwide, has secured a $50m strategic investment.

The latest funding values the company at $2bn, marking a 1.7x increase from its previous $1.15bn pre-money valuation.

The funding was contributed by a strategic investor, though their identity has not been disclosed. This follows Zeta’s previous $250m raise in 2021, which was led by SoftBank Vision Fund 2 along with other key investors.

Zeta specialises in providing cloud-native banking solutions, enabling financial institutions to launch and manage digital financial products efficiently. Its SaaS offerings cater to banks and FinTech firms, supporting products such as credit cards, checking and savings accounts, unsecured loans, and commercial banking solutions. The platform is built on a microservices-based, API-first, and headless (MACH) architecture.

Zeta’s Global CEO and co-founder, Bhavin Turakhia, highlighted the company’s rapid growth, stating, “We are incredibly excited at the pace at which clients are embracing our modern stack.

“Over the past few years, we have supported over 25 million accounts on our cloud-native processing platform Tachyon and are on track to add 25 million more with contracts already in flight. Our clients are breaking away from decades of legacy systems to deliver amazing digital experiences thereby increasing their customer satisfaction and accelerating new user acquisition.”

Co-founder Ramki Gaddipati added, “Zeta’s mission to be a trusted partner to financial institutions is possible through the patient efforts of the best team ever assembled in banking technology. While the past few years have been challenging for the banking-tech industry, our organization has delivered multiple winning programs for our clients in record times.”

Zeta’s platform is used by some of the world’s largest financial institutions, including HDFC Bank, India’s leading private bank, where it has launched the Pixel digital-native credit card program. Other key partners include Pluxee, a global corporate benefits provider, and Sparrow Financial, a US-based card issuer focused on non-prime cardholders.