Bill payment and rewards platform raised 81 million in Series C funding led by IndiaBased Cred 81m Series DST Global. The company, India-based Cred, will use the cash to build out its technology and launch a new rewards program. It plans to expand in the next few years, according to a statement.
India-Based Bill Payment & Rewards
A promising IndiaBased Cred 81m Series DST Global bill payment and rewards platform has secured $81 million in new funding. The company, CRED, is led by high-profile entrepreneur Kunal Shah, along with partners from DST Global and Sofina. Its eponymous app lets users pay credit card bills and receive discounts and rewards. In a bid to win over more customers, it has also introduced Cred Cash, a lending product that allows users to purchase assets such as cars and properties.
IndiaBased Cred 81m Series DST Global has also launched a number of other initiatives, including a smartphone app that enables users to manage their bank accounts, and an e-commerce platform with over 1,800 brands. The company’s most recent funding round will be used to expand its offerings. Moreover, it has partnered with Betterfly, a life insurance company, to help customers pay off their bills. This is the first of many partnerships the company plans to enter into, aiming to provide customers with a better experience.
Credit Card Repayment Platform
Last month, Cred, a credit card repayment platform, secured $81 million in funding from DST Global. This round was also led by Sequoia Capital and Ribbit Capital. The company is seeking a minimum $500 million valuation and is actively looking for deals in India.
Cred was founded by Freecharge co-founder Kunal Shah and was valued at $450 million a year ago. The startup is now approaching unicorn status. It offers rewards to users who pay with credit cards. The company recently launched an employee share buyback (ESOP) programme to exercise its shares. Since the start of the program, the startup has already bought back shares worth INR90m ($1.2m).
ESOP Buyback Scheme
CRED has launched an ESOP buyback scheme for its employees. The startup plans to invest a large portion of its funding in expanding operations in India. Currently, the startup has offices in New York, London, Beijing, and Hong Kong. It has a board of directors that includes Yuri Milner, Saurabh Gupta, and Coatue Management.
The latest funding round from India-based CRED has raised an impressive $81 million. The company aims to expand its financial services offerings, including a credit card. Its current offering includes an app that helps users pay their credit cards by granting them rewards. Earlier this year, the company acquired expense management startup Happay.
Share Buyback Program
Meanwhile, the company has also exercised its share buyback program to repurchase shares worth over $1 million from employees. The new funding round is part of the company’s latest drive to boost its value to over $4 billion. Founded in 2018, the company is led by high-profile entrepreneur Kunal Shah, who previously cofounded mobile wallet firm Freecharge. In March, the company filed for an account aggregator license from the Reserve Bank of India.
New Banking Products
The company is now in the midst of shoring up various licenses from the RBS. Other than that, it is also planning to introduce new banking products in the near future.
If you have ever paid your credit card bills with the Cred app, you know that it offers you credits in return. This means that you can use the coins to pay at partner businesses. But what are the future plans for this company?
The company has raised around USD 228 million in four rounds. It has secured funding from Sequoia Capital, Coatue Management, Falcon Edge Capital, Tiger Global, and others. After its latest round, the firm is valued at over $806 million. And the company plans to expand its current offerings and add new ones.
One of the things the team is thinking about is how they can help venture firms discover other companies, thereby helping them to invest in them. Another idea is that they could license their data to these firms. As a result, they might be able to better inform their investment decisions.
Interestingly, the firm is also planning to launch more products, including banking services and a credit card. However, they are not in a hurry to do so. They are focused on providing products and experiences to their members.