Through a combination of primary and secondary transactions, Rainmatter Investments, funded by Zerodha, has paid $2 million to buy the bulk of the digital pension service PensionBox.
The new funding, in addition to previous investments, will help the company’s expansion goals over the next year or two, according to PensionBox founder Kuldeep Parashar. He refused to reveal the value.
According to documents that Entrackr was able to view, Zerodha purchased a 51 percent share in the Bengaluru-based business, giving early investors including 100X.VC, SAT Industries, Keynote Capital, LetsVenture, and a group of angel investors a full exit. Parashar verified the transaction.
PensionBox, a PFRDA regulated digital pension platform that assists individuals and businesses in managing National Pension System (NPS) accounts, was established in 2021 by brothers Kuldeep and Shivam Parashar.
The platform provides a quicker alternative to conventional pension procedures by enabling rapid account opening, investment tracking, SIP contributions, and automated Corporate NPS.
Together, the founders will hold a 48 percent share in the business after the transaction.
According to Parashar, who spoke with Entrackr, Zerodha’s Coin would cater to retail consumers, while PensionBox will concentrate on the corporate NPS segment as part of the agreement.
According to Neelesh Verma of Zerodha, Rainmatter only makes investments when its vision is in line and does not meddle with founder choices. Zerodha will concentrate on fixed income products including mutual funds, term deposits, and NPS, while PensionBox will function independently in the retail and corporate sectors.
PensionBox recorded a net loss of Rs 75 lakh for the fiscal year that ended in March 2025, with operating revenue of Rs 1.75 lakh against expenses of Rs 77 lakh.
The investment aligns with Rainmatter’s aim of collaborating with specialized founders to create a more comprehensive savings ecosystem beyond broking, according to Somnath Mukherjee, Vice President, Corporate Development at Zerodha.
He emphasized how the massive stock-broking company views pensions as a crucial component of long-term household savings, especially now that NPS is more flexible due to legal reforms.
Notably, employees can receive NPS tax free up to 14% of their base wage or Rs. 7.5 lakh annually, whichever is less, without the employer having to make any contributions.
In January 2026, the pension regulator PFRDA also made a number of adjustments, including legalizing loans against their investment, allowing easy partial withdrawals, and lowering the lock in period to 15 years.
Approximately 11 lakh employers conduct provident fund programs, whereas just about 22,000 organizations give NPS benefits.
According to Kuldeep Parashar, the founder and CEO of PensionBox, he is concentrating on developing an end-to-end technological stack around NPS in order to streamline operations for financial departments, HR teams, and employers.
He stated that an API-driven model that can directly interface with payroll and HRMS systems is intended to replace the current procedure, which frequently depends on paperwork, emails, and spreadsheets.
The company is concentrating on corporate NPS adoption in the private sector, where penetration is still low, Parashar continued.
Regarding the younger workforce, Parashar identified a shift in Gen Z employees’ behavior as a longer-term factor influencing the acceptance of pension plans. According to him, retirement saving habits usually start to take shape in the late 20s as workers start to take long-term financial security more seriously, even though those in their early 20s tend to be “more credit heavy.”
If the experience is similar to consumer finance apps rather than government-style portals, he continued, younger consumers are more likely to interact with pension goods.
While its immediate focus is still on corporate NPS, the business intends to eventually diversify into related retirement products, such as provident fund-related services.
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According to Mukherjee, Zerodha will collaborate with PensionBox on both an investment and product partnership basis. This would include supporting PensionBox’s corporate efforts and making NPS available through Coin on the retail side.
