$137 mn fundraise: CredAvenue turns 11th unicorn of 2022

The round was led by Insight Partners, B Capital Group and Dragoneer Investment Group, and propelled the startup’s valuation to $1.3 billion from $410 million in September, making it India’s fastest fintech unicorn — a private billion dollar company — within 18 months of being established.

The company, which has also received funding from Sequoia Capital and Lightspeed Ventures, provides digital technology solutions for all stages of the debt cycle, from disbursal to collections. The startup claims to work with over 2,300 corporates and has a loan book of over Rs 90,000 crore.

CredAvenue plans to use the funds to expand in India and into key global markets as well as make acquisitions. The company had recently acquired digital collection solution provider Spocto. The fresh funds would also be used to expand Spocto’s international presence beyond Middle East Asia and India organically and inorganically.

“Debt in India is still under-penetrated as a percentage of GDP at about 60%,” said Kabir Narang, founding general partner at B Capital Group. “At $1.9 trillion, the Indian debt market is still underserved, he said, adding that it “creates a massive opportunity.”