CRED, the Bengaluru-based fintech unicorn, has raised Rs 617 crore (approx. $72 million) in a fresh funding round, according to filings with the Registrar of Companies (RoC). This round reflects a strategic move as the startup navigates toward profitability despite a notable dip in valuation.
Leading the round is GIC’s Lathe Investment, which contributed Rs 354.4 crore ($41 million). Other participants include RTP Global with Rs 74.87 crore ($8.75 million), Sofina Ventures with Rs 25.8 crore ($3 million), and QED Innovation Labs, the family office of CRED’s founder, Kunal Shah, which invested Rs 162 crore ($19 million). The total size of this funding round is expected to touch $75 million, pushing CRED’s post-money valuation to $3.64 billion. This is a 43% correction from its earlier $6.4 billion valuation during its Series F round in June 2022, where it had raised $140 million.
Equity Stakes Post-Funding
Following the completion of this round:
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GIC’s Lathe Investment will hold a 5.95% stake
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RTP Global will own 1.14%
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Sofina Ventures will command 1.97%
These strategic stakes suggest long-term investor faith in CRED’s vision and potential in the evolving fintech ecosystem.
What Does CRED Offer?
CRED, often celebrated for reinventing credit card payments and rewards, now operates as a multi-service fintech platform. Its offerings include:
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Credit card bill payments with rewards and cashback
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Credit score monitoring and insights
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Hidden charge detection
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Bill reminders
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Access to shopping deals, travel offers, and insurance tools
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FASTag management and more
With a focus on high-creditworthy individuals, CRED continues to expand its ecosystem with financial products aimed at delivering transparency, user empowerment, and intelligent expense tracking.
Financial Snapshot: Revenue Up, Losses Too
Despite the funding boost, CRED continues to navigate profitability challenges. In FY24, the company reported a net loss of Rs 1,644 crore, up 22% from the previous year. This figure includes heavy ESOP-related expenses and tax obligations.
On the brighter side, revenue grew by 66% year-on-year, reaching Rs 2,473 crore. The fintech giant aims to achieve full-year profitability by FY26, marking a critical transition from a growth-centric to a financially sustainable business model.
CRED has not yet filed its FY25 annual report, but industry watchers anticipate more aggressive monetization strategies in the coming year.
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