KreditBee Bolsters Series D Funding with $9.4 Million Injection

• ByStartupStory     |    March 30, 2024

Leading digital lending platform KreditBee has announced a successful $9.4 million extension to its Series D funding round. The capital infusion, sourced from a consortium of existing investors including Premji Invest, Motilal Oswal Private Equity, and Mirae Asset among others, underscores KreditBee’s strategic positioning in the fintech landscape.

According to regulatory filings sourced from the Registrar of Companies, KreditBee’s board has ratified a special resolution to issue 92,322 Series D compulsory convertible preference shares (CCPS) at an issue price of Rs 8,485.36 each, resulting in a total raise of Rs 78.33 crore. The development was initially reported by Inc42.

Wiseanya Ltd led the latest round with a substantial investment of Rs 40.91 crore, while Motilal Oswal PE (via India Business Excellence) and Mirae Asset injected Rs 9.52 crore and Rs 1.15 crore respectively. Additionally, notable participation came from Premji Invest, MUFG Bank Limited, and NewQuest Capital, completing the funding round with their contributions.

KreditBee, founded by Madhusudan E, operates as a platform facilitating seamless loan transactions between borrowers and NBFCs or banks. Offering personal loans of up to Rs 4 lakh to young professionals with flexible tenure options ranging from 2 to 15 months and competitive interest rates capped at 2.49%, the platform has garnered significant traction among its target demographic.

This latest tranche of funding marks a resurgence for KreditBee after a hiatus of 15 months. The company had previously secured $180 million across two tranches in the last quarter of FY22. According to insights from startup data intelligence platform TheKredible, Premji Invest holds the largest external stake in KreditBee at 23.44%, followed by Newquest Asia and Alpine Capital.

With a customer base exceeding 7 million and a staggering credit disbursement tally of Rs 30,000 crore, KreditBee continues to solidify its position as a frontrunner in the digital lending sphere. Notably, the company achieved profitability in FY23, reporting a net profit of Rs 64.33 crore alongside a robust revenue performance, with operations generating Rs 788.66 crore in the last fiscal year.

KreditBee faces competition from prominent players in the market such as MoneyTap, EarlySalary, LazyPay, and Navi, spearheaded by Sachin Bansal. As the fintech landscape evolves, KreditBee’s latest funding round reinforces its commitment to innovation and expansion, poised to further disrupt and redefine the digital lending ecosystem. For a comprehensive overview of KreditBee’s shareholding, interested parties are directed to TheKredible platform.

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