CRED Raises $80M in Series F at $6.5B Valuation
Credit card payment app and discovery platform D2C CRED has raised a new seed round from new and existing investors. This would be the Bengaluru-based company’s first funding round in 2022.
CRED has approved the issuance of 42,308 Series F CCPS at an issue price of Rs 145,846.98 per share to raise $80 million or Rs 617 crore, according to the regulatory filing with the Registrar of Companies ( Rock).
GIC (via Lathe Investment) led the round with Rs 467 crore followed by Tiger Global, Sofina Ventures SA, Alpha Wave Ventures and DF International who put in Rs 50.14 crore, Rs 50 crore, Rs 42.63 crore and Rs 7.51 crore respectively. The company may receive more funds in this cycle.
According fintrackrAccording to CRED estimates, CRED was valued between $6.3 and $6.5 billion (post-money). The company’s valuation jumped more than 60% from $4.01 billion when it raised a Series E funding round in October 2021.
CRED joins Razorpay [$7.5 billion]Swiggy [$10 billion]pine labs [$5 billion]Verse parent of Dailyhunt [$5 billion] and electric Ola [$5 billion] which managed to raise a new round of valuation to $5 billion or more this year.
The Kunal Shah-led company has raised $546 million since 2021 and $626 million since December 2020. Its backers include Falcon Edge, Tiger, DST Global, Insight Partners and Coatue, among others.
CRED is a credit card payment app with a direct-to-consumer (D2C) marketplace and P2P lending through CRED Mint. The company had also acquired expense management company Happay for about $150 million. Coach had exclusively reported the agreement in December last year.
CRED focused on increasing its use cases and enabled utility payment function in April. On Thursday, NPCI Bharat BillPay, the wholly owned subsidiary of National Payments Corporation of India, announced the integration of CRED as a key Agent Institution (IA) to provide easy bill payment solutions.
Although the company has not yet disclosed its financial results for FY22, CRED’s revenue climbed 170X in the financial year ending March 2021 and stood at Rs 88.6 crore. Meanwhile, its losses increased by 45% to Rs 523.85 crore.