CredAvenue, a technology-led debt platform linking lenders and businesses in India, has completed a US$90 million Series A equity funding round, with capital from several leading investors in the Indian financial market.
Investors that participated in the funding round include Sequoia Growth Investments, Lightspeed India Partners III, TVS Shriram Growth Fund III, Lightstone Global Fund and Cred.
CredAvenue is a subsidiary of Vivriti Capital Private Limited (VCPL), which connects institutions, investors, small enterprises and individuals that lack efficient access to financial services in India. Following this funding round, VCPL will continue to own a 58.5% majority stake in CredAvenue. Vivitri is majority owned by Chicago-based Creation Investments.
Headquartered in Chennai, India, CredAvenue has built a streamlined credit marketplace linking over 500 Indian lenders and more than 1,000 enterprises. The firm provides due diligence, deal execution, risk management and portfolio monitoring solutions and locates non-bank finance companies that meet lending criteria.
“Our latest funding is a vote of confidence in our business model from some of the savviest investors in India,” said Gaurav Kumar, CEO of CredAvenue. “The additional capital allows us to expand our debt platform to meet the needs of many more people here.”
“We are very excited to see our investment in Vivitri and its subsidiary CredAvenue making a difference for those at the bottom of the economic pyramid in India,” said Patrick Fisher, Creation Investments’ managing partner.
Creation Investments Capital Management LLC, a global alternative asset manager and leading impact investor in emerging markets, is an equity investor in Vivriti Capital. Earlier this year, Creation partnered with CredAvenue to provide debt capital to three non-bank financial companies serving the Indian population in areas such as microlending, affordable housing, vehicle loans, small- and medium-enterprise lending (SMEs), and education finance, the statement said.
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