Fintech startup, CRED, has raised $140 million (Rs 1,089 crore) of fresh capital as part of its Series F funding round. The round was participated by investors like Tiger Global, Sofina Ventures SA, Falcon Edge, and Dragoneer.
The valuation of the company after raising the fresh capital is valued at $6.4 billion which is 60 % higher than its previous valuation of $4.01 billion. The previous funding was raised as a Series E financing round of $251 million in the month of October 2021.
Last year, the startup raised capital through three rounds—$81 million in its Series C round, $215 million in Series D, and $251 million in Series E.
In March FY22, the sources depicted that CRED is planning to invest its money into wealth management.
CRED was founded by Kunal Shah in the year 2018. CRED facilitates rewards and benefits to premium credit card users for paying credit bills. After that, the company expanded its base into lending e-commerce payments and offering short-term loans through Buy Now Pay Later (BNPL) options.
The platform gets involved in corporate finance management by acquiring Happay, which offers all-in-one expense management software for every business field.
CRED is facing the problem of loss valued at 45% year-on-year to Rs 524 crore for FY 2021, from Rs 360 crore a year ago. However, the company also attained the benefits of 400% in revenues which is calculated to Rs 18.16 crore in FY20 to Rs 95.53 crore in FY21. Total revenue generated from operations raised to Rs 88 crore in FY21 from Rs 52 lakh.
NPCI Bharat BillPay, the wholly-owned subsidiary of NPCI released that it had onboarded CRED as a key agent institution for facilitating easy bill payment solutions. The CRED users will be capable enough to make recurring bill payments that includes electricity, telecom, DTH, gas, education fees, water, and municipal taxes.