SUMMARY
The round was led by Westbridge Capital, Accel, Tanglin Ventures, Beams Fintech Fund and other strategic investors
Credgenics provides loan collections and debt resolution technology platform to banks, non-banking finance companies and fintechs
The startup claims to have turned operationally profitable recently and hit a revenue of INR 100 Cr ($12.1 Mn) in FY23
Debt collection Saas startup Credgenics has raised $50 Mn in a Series B funding round at a valuation of $340 Mn.
The round was led by Westbridge Capital, Accel, Tanglin Ventures, Beams Fintech Fund and other strategic investors.
The startup will use the fresh capital for product innovation and enrichment, international business expansion, and capturing other BFSI industry segments.
Founded in 2018 by Rishabh Goel, Anand Agrawal and Mayank Khera, Credgenic provides loan collections and debt resolution technology platform to banks, non-banking finance companies and fintechs. It has a presence in the Indian market, as well as in the SouthEast Asia region.
Its clientele includes the likes of IIFL Finance, Mahindra Finance, ICICI Bank, HDFC Bank, DMI Finance, Hero Fincorp, TVS Credit, IREP Credit Capital and Indifi. The fintech SaaS startup claims to have touched an overall loan book worth $47 Bn in FY22.
“With these resources, we can extend our innovative debt recovery solutions to new markets, empowering individuals and businesses worldwide to regain control of their loan collections. This funding not only accelerates our growth but also enables us to make a meaningful impact on the economic landscape of countries, unlocking new opportunities for financial well-being,” Rishabh Goel, cofounder and CEO of Credgenics, said.
Back in 2021, Credgenics raised $25 Mn in Series A round at a valuation of over $100 Mn. Since its last fundraising round, it has claimed to have witnessed a 7X growth rate. It has also claimed to turn operationally profitable recently and reach a revenue of INR 100 Cr ($12.1 Mn) in FY23.
“We are in a prime growth phase where we plan to introduce more innovative solutions and expand our footprint in other countries as well as invest in product development. Strengthening our partnership with our existing investors is a strategic decision that will help us bring more agility, convenience and efficiency to the loan collections process,” Anand Agrawal, cofounder and CPTO of Credgenics said.
India’s debt collection software market is estimated to be at $190.78 Mn in 2023 and is expected to reach $296.08 Mn by 2028, growing at a CAGR of 9.18%, according to Research And Markets report. In this segment, Credgenics competes with the likes of Receeve, CreditMate, Credility, among others.
The fundraising comes at a time when the Indian startup ecosystem saw a 65% year-on-year decline in funding to $394 Mn in July 2023. In addition, growth-stage funding declined 38% year-on-year to $148 Mn in the month. The latest fundraising round of Credgenics is among the largest round sizes in 2023.
As per Inc42 data, enterprisetech startups accounted for 20.2% of total funding in July at $80 Mn.
