BNPL platform ZestMoney raises Rs 20 Cr in debt
- ByStartupStory | June 30, 2022
ZestMoney, a platform for Buy Now, Pay Later (BNPL), has funded Rs 20 crore through the private sale of non-convertible debentures (NCDs) to its current investor Alteria Capital. The firm has adopted a resolution approving the preferential private placement of 2,000 Series F2 unlisted, secured, redeemable, non-convertible debentures with a face value of Rs 1 lakh each to Alteria Capital Fund II -Scheme I.
In September 2021, the Bengaluru-based startup’s Series C investment round included a $50 million contribution from Australian competitor Zip Co Ltd. With this current round, the business has received around $113 million in total capital. Among its early supporters are Goldman Sachs, Quona Capital, PayU, and Xiaomi.
Priya Sharma, Ashish Anantharaman, and Lizzie Chapman founded ZestMoney in 2015 to provide BNPL plans with ticket sizes ranging from Rs 50 to Rs 5 lakh payable over 30 days to 24 months. In order to provide its BNPL services to clients, it asserts to have collaborated with 25 banks and non-banking lenders. It also works with significant retailers including Amazon, Flipkart, Google Pay, Apple, and Xiaomi.
Additionally, it offers solutions to assist customers in establishing a solid credit history as well as credit education and financial counselling. The majority of ZestMoney’s clients (median) are between the ages of 23 and 26. Currently, ZestMoney has over 11 million users that have enrolled, and it has a merchant network made up of 10,000 online retailers and 75,000 physical stores.
The insurance companies will collaborate with ZestMoney to design specialised insurance plans that will be made available alongside its BNPL products. The platform would be compensated by the insurance companies through a distribution fee. With the insurance licence, Zest Money may now provide insurance online, joining companies like Lendingkart, PolicyBazaar, Amazon Pay, and Paytm Money.
Follow Startup Story
Related Posts
