[ad_1]
Online debt marketplace CredAvenue has become the tenth unicorn of 2022, raising $137 million in its Series B funding round. The fintech start-up said that it is now valued at $1.3 billion – more than tripling its valuation in 6 months.
The funding was led by New York-based global private equity and venture capital firm Insight Partners, B Capital Group, and Dragoneer, with participation from existing investors.
In September last year, CredAvenue had closed its Series A funding round of $90 million led by Sequoia Capital India and co-led by Lightspeed, TVS Capital Funds and Lightrock. That equity funding had valued the company at approximately $410 million, according to reports.
Gaurav Kumar, Founder and CEO of CredAvenue, said, “We have a once-in-a-lifetime opportunity to transform the global debt and collections market through a combination of the marketplace, operating system, and fulfillment.”
“CredAvenue, which has a solution for every stage of the debt product life cycle, expect to catapult on a hyper-growth trajectory over the next few years to make a difference for all Indian debt market participants and bring unprecedented transformation, akin to the equity markets of the 1990s, to the way a typical debt lifecycle is handled in India,” he added.
The company intends to use the funds to expand the business in India along with key global markets, organically and inorganically, by acquiring diverse companies for the forward and backward services and products integration.
It has broadened its offerings by recently acquiring Spocto, a collections company with global footprints. CredAvenue had bought a 75.1 per cent stake in the company, valuing the company at around Rs 410 crore.
The company said it will also use the funds to enhance its technological capabilities by investing in technology innovation, AI-ML, and data analytics.
The debt marketplace claims to have achieved a milestone of clocking in a cumulative Gross Turnover Volume (GTV) of over $12 billion. It currently has more than 2,300 corporates, 750 lenders on its platform and has facilitated debt volumes of over Rs 90,000 crores.
“By leveraging a next-gen business intelligence and data-collection platform, CredAvenue enables efficient match-making and minimises manual and recurring efforts in underwriting, executing, and monitoring debt,” said Nikhil Sachdev, managing director of Insight Partners.
“The company has already achieved incredible growth and key bank logos and partnerships in just 15 months. We look forward to partnering with CredAvenue as they continue to scale up,” he added. Sachdev will join the company’s Board.
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
[ad_2]
Source link