Moglix Infuses $50 Mn In Its Financing Arm Credlix For Expansion In US And Mexico

Moglix Infuses $50 Mn In Its Financing Arm Credlix For Expansion In US And Mexico

SUMMARY

In the new market, Credlix will focus on providing “collateral-free financing solutions” to small and medium enterprises (SMEs) in the manufacturing sector

Launched in 2021, Credlix provides working capital solutions for enterprises and exporters

Credlix claims to serve 700 enterprises and 16,000 SMEs in India and South East Asia

B2B marketplace unicorn Moglix has invested $50 Mn (INR 417.5 Cr) in its supply chain financing arm Credlix to fuel its expansion into the US and Mexico markets. 

In the new market, Credlix will focus on providing “collateral-free financing solutions” to small and medium enterprises (SMEs) in the manufacturing sector, including industries like automotive, textiles and apparel, aerospace components, electronics.

“Just as we’ve supported manufacturing and infrastructure businesses in India, Credlix’s expansion into Mexico will enable SMEs to overcome financial challenges and capitalise on opportunities in a dynamic global trading environment,” Moglix founder and CEO Rahul Garg said. 

Moglix launched Credlix in 2021. It provides working capital solutions for enterprises and exporters, including early-payment programmes, vendor financing, supply chain financing, invoice discounting and purchase order financing.

The company provides up to $3 Mn in credit or 90% of the consignment value (whichever is lower) and charges annual interest of 7-11% or monthly interest of 0.6-0.9%. As of now, it claims to serve 700 enterprises and 16,000 SMEs in India and South East Asia.

Meanwhile, Credlix’s parent Moglix, founded in 2015, sells electrical supplies, power tools, motors, medical supplies, among others, through its online platform. The startup entered the unicorn club in 2021 when it raised $120 Mn in its Series E funding round led by Falcon Edge Capital and Harvard Management Company (HMC).

With an eye on public listing, Moglix is currently looking to shift its domicile to India. With the domicile shift, Garg recently said it will look to make its public market debut in the next two years. 

On the financial front, its net loss increased 12% to $23.5 Mn (INR 196 Cr) in the financial year 2022-23 (FY23) from $21 Mn (INR 175.3 Cr) in FY22. Operating revenue rose 83% to $560.4 Mn (INR 4,664.7 Cr) from $306.9 Mn (INR 2,554.6 Cr) in FY22.

You have reached your limit of free stories
Become An Inc42 Plus Member

Become a Startup Insider in 2024 with Inc42 Plus. Join our exclusive community of 10,000+ founders, investors & operators and stay ahead in India’s startup & business economy.

2 YEAR PLAN
₹19999
₹7999
₹333/Month
Unlock 60% OFF
Cancel Anytime
1 YEAR PLAN
₹9999
₹4999
₹416/Month
Unlock 50% OFF
Cancel Anytime
Already A Member?
Discover Startups & Business Models

Unleash your potential by exploring unlimited articles, trackers, and playbooks. Identify the hottest startup deals, supercharge your innovation projects, and stay updated with expert curation.

Moglix Infuses $50 Mn In Its Financing Arm Credlix For Expansion In US And Mexico-Inc42 Media
How-To’s on Starting & Scaling Up

Empower yourself with comprehensive playbooks, expert analysis, and invaluable insights. Learn to validate ideas, acquire customers, secure funding, and navigate the journey to startup success.

Moglix Infuses $50 Mn In Its Financing Arm Credlix For Expansion In US And Mexico-Inc42 Media
Identify Trends & New Markets

Access 75+ in-depth reports on frontier industries. Gain exclusive market intelligence, understand market landscapes, and decode emerging trends to make informed decisions.

Moglix Infuses $50 Mn In Its Financing Arm Credlix For Expansion In US And Mexico-Inc42 Media
Track & Decode the Investment Landscape

Stay ahead with startup and funding trackers. Analyse investment strategies, profile successful investors, and keep track of upcoming funds, accelerators, and more.

Moglix Infuses $50 Mn In Its Financing Arm Credlix For Expansion In US And Mexico-Inc42 Media
Moglix Infuses $50 Mn In Its Financing Arm Credlix For Expansion In US And Mexico-Inc42 Media
You’re in Good company