The development comes as the startup looks to scale its co-branded credit card and international travel booking businesses.
“Conversations have already started with multiple investors. The round is yet to be closed, but the target is to secure an investment of $50 to $60 million,” one of the persons said, adding that the talks are in the early stages.
Nexus Venture Partners could also join the startup’s cap table along with Scapia’s existing investors. “New investors might also join this round, the details are yet to be finalised,” he added.
Responding to ET’s queries, the company said that it won’t comment on market speculations. Emails to General Catalyst and Nexus remained unanswered at press time.
Last April, Scapia raised $40 million led by Peak XV Partners along with Elevation Capital, Z47, and Three State Capital. That round had valued the Bengaluru-based startup at around $200 million. The company has raised close to $72 million since inception.
Founded in 2022 by former Flipkart senior executive Anil Goteti, Scapia offers co-branded credit cards with features such as zero joining or annual fees, complimentary lounge access, etc.
The company’s revenue from operations rose 70.8% year-on-year (YoY) to Rs 40.4 crore in FY25, and it managed to reduce its net loss by 5.6% to Rs 83 crore, per filings with the Registrar of Companies.
The latest development comes weeks after General Catalyst announced a massive $5 billion investment plan for India over the next five years.
Earlier, in an interview with ET on its India deployment plans, the firm had said it will invest across artificial intelligence (AI), defence, healthcare, industrials, and fintech.
“We’re also doing resilience-related investments: defence, where we’ve already had a couple of large deals; healthcare, where we have a large portfolio; and fintech, which remains very important for us globally,” Neeraj Arora, CEO, India and MENA (Middle East and North Africa) at General Catalyst had told ET in February.
He added that the fund will continue to invest in consumer companies because the growth is immense and the space continues to expand.
The VC firm, which has backed companies such as Anthropic and deftech company Anduril, has invested in India’s quick commerce startup Zepto, instant house-help startup Pronto, and aircraft engine parts maker Jeh Aerospace, among others. Recently, it led a $16 million round in Bengaluru-based cross-border payments firm Xflow.
Scapia competes with other credit card players like Uni Cards, Niyo, Jupiter, etc. The firm has built its business around travel with all its cards and product offerings aimed at young Indian travellers.
The company had suffered a major slowdown in its business in FY25 owing to RBI action on its partner Federal Bank. ET had reported on March 18 last year that the bank was allowed to restart its card distribution business and Scapia started onboarding customers post that.