Digital lending startup Lendingkart has raised Rs 70 crore ($10.5 million) and is in the process of raising a Series-C round of $50-80 million, reports Economic Times.
While this is largely an internal round, the company has also brought in Singapore-based fund Sistema Asia Fund as a new investor, which is set to invest in a larger round which the startup may close in four to six months.
Existing investors Bertelsmann India Investment, Mayfield India, Saama Capital, India Quotient and Darrin Capital Management led the latest round.
ET reports that this brings the company's total fundraise to Rs 243 crore in equity. Lendingkart has also raised a significant amount of debt funding of Rs 291crore.
Lendingkart has appointed Credi Suisse as the investment banker as it looks to raise up to $80 million.
The latest funds raised by the company will be used to increase its loan book and to strengthen its technology and analytics capabilities.
Having lent to over 10,000 small and medium businesses, Lendingkart CEO Harshvardhan Lunia says that the fresh capital will be used to increase the number of loans and to boost the mobile platform.
“Lendingkart's data science-driven approach and contactless distribution model is the answer to the needs of the SME sector overlooked by traditional banking infrastructure. We are privileged to join a world-class team and an esteemed group of investors in fostering our collective vision of financial and digital inclusion," Dhruv Kapoor, MD of Sistema Asia Fund Advisory, said in a statement.
Last month, Lendingkart raised debt funding of $10 million (Rs 67 crore) from Kotak Mahindra Bank, Aditya Birla Financial Services, Tata Capital and some other financial institutions.
The digital lending space has seen quite an interest from venture capitalists in the last couple of months. In May, digital credit platform Pay Sense raised $5.3 million from Jungle Ventures, Naspers Group and Nexus Venture Partners. Later in June, MoneyTap raised $9 million from Sequoia India.
Last month, Capital Float last month raised Rs. 293 crore in its Series-C round led by Ribbit Capital, along with existing investors Sequoia Capital, SAIF Partners and Creation Investments.