Digital lending platform KreditBee has raised an additional $70 million in a follow-on Series C round from TPG-backed NewQuest Capital Partners and Motilal Oswal Private Equity.
Last month, the Bengaluru-based company had received $75 million worth of primary and secondary tranche from Premji Invest, Mirae Asset Naver Asia Growth Fund, Alpine Capital and Arkam Ventures in the same round.
According to KreditBee, the fresh funds will be deployed towards expanding the lending portfolio to different products and developing an offline-online lending capability. It further added that the conclusion of this round has led to an exit of most of the early-stage investors.
A KreditBee’s spokesperson confirmed that Chinese investors such as Xiaomi and Shunwei Capital have made a complete exit from the company. Xiaomi and Shunwei had invested around $8 million in KreditBee’s Series A round in 2017.
Led by Madhusudan E, KreditBee is a platform facilitating loan transactions between the borrowers and the NBFCs or banks. The company provides personal loans to young professionals in the range of Rs 10,000 to Rs 200,000 for a tenure of 2 to 15 months and at an interest rate of up to 2.49%. The company claims to have a registered user base of over 25 million.
During the last fiscal year or FY20, KreditBee recorded a 3.7X jump in its revenue to Rs 557.72 crore with a total expenditure of Rs 450.7 crore. The company was profitable in the last two fiscal years with Rs 98.45 crore in FY20 and Rs 44.35 crore in FY19.
In the digital personal loan segment, KreditBee has a long list of competitors including MoneyTap, EarlySalary, LazyPay and Sachin Bansal’s Navi.