KreditBee, one of India's leading fintech platforms, in an extension of its Series D round raised an additional USD 100 million in primary funding from Advent International ("Advent"), one of the world's largest and most experienced private equity investors. Last month, the company had raised Tranche one of Series D from Mitsubishi UFJ Financial Group (MUFG), Japan's largest bank, along with existing investors Premji Invest, Motilal Oswal Alternates, NewQuest Capital Partners, and Mirae Asset Venture Investments. Avendus Capital acted as the exclusive financial advisor to KreditBee on the transaction.
The additional capital raised will be deployed towards scaling the existing business and diversifying its product offering by venturing into digitally enabled financial products. The company serves the credit and other personal finance requirements through its in-house RBI-registered NBFC - Krazybee Services Private Limited (Systemically important NBFC) along with partnerships with over 10 renowned financial institutions. The platform is on track to surpass an AUM of USD 1 billion over the next 6-9 months.
On announcing the fundraising, Madhusudan Ekambaram, Co-Founder & CEO of KreditBee, said, "We are delighted to welcome a long-term financial and strategic partner in Advent. This reinforces the confidence in our profitable business model and the long-term sustainability of it. The latest round will help us to achieve our vision of serving over 400 million middle income population in the country."
Shweta Jalan, Managing Partner at Advent International, added, "We believe KreditBee's proprietary underwriting tech stack is one of the best in the industry and helps in its ability to identify and underwrite future prime customers at an early stage. We are thrilled about this partnership and to assist KreditBee to drive further value creation in its next phase of sustainable growth."
Gagan Joshi, Director at Advent International, said, "We are excited about the digital lending opportunity in India, a fast-growing under-penetrated space, which only a handful of FinTechs like KreditBee have been able to crack profitably. We look forward to supporting Madhu and his team in creating a full-service fintech platform to help meet the credit needs of India."
Ashish Dave, CEO of Mirae Asset Venture Investments, said, "KreditBee has witnessed several credit cycles and has come out stronger each time reflecting adaptability and resilience of its business model. With this investment, we are strengthening our commitment to back KreditBee's vision."
Pankaj Naik, Executive Director and Co-Head, Digital & Technology Investment Banking at Avendus Capital said, "We are thrilled to have partnered with Madhu and KreditBee. This new funding will help KreditBee consolidate its position as a strong leader in the personal digital lending market. The current round is a reflection that in any market conditions, companies with attractive margin profiles addressing a large market opportunity continue to create an exceptional outcome."