Fintech lending startup KreditBee on Thursday said it has raised Rs 60 crore (nearly $8 million) in equity and debt from India SME Investments, an investment arm of the Small Industries Development Bank of India (SIDBI). The Bengaluru-headquartered KreditBee in February concluded its Series C equity round worth $75 million (about Rs 545 crore) from Premji Invest, Mirae Asset Naver Asia Growth Fund, Alpine Capital and Arkam Ventures consisting of both primary and secondary investment.
KreditBee is focused on providing financial inclusion in India via digital lending solutions in the form of personal loans. The company said in a statement that it looks to expand its lending portfolio by introducing financial services like BNPL (buy-now-pay-later) and insurance, among others.
The new funding round is a follow-up tranche of investment from India SME after investing Rs 28.4 crore in September 2019 as debt in Krazybee Services Private Limited, which is a part of the holding company of KreditBee.
Registered in March 2016, the group entity also holds Krazybee Services Private Limited -- a non-deposit taking non-banking financial company (NBFC-ND-SI). The group launched its flagship brand KreditBee in May 2018, focused on full-stack digital lending for young professionals.
The platform specialises in providing digital personal loans and consumer durable loans to both salaried and self-employed. The loan amount disbursed can go as high as Rs 2 lakh while the tenures range from two months to 15 months.
India SME Investments focuses on investing in early-growth companies, primarily based out of or operating in tier 2/3 cities, targeting the lower/middle-class segment and benefiting from changing consumer preferences. Its other investments include Citykart (largest value retailer in UP and Bihar), Kushal's (fashion jewellery brand) and snacking company Priniti. India SME has been associated with KreditBee for more than 24 months.