Peak XV Backed BharatPe Marks Final Close Of $100 Mn Debt Round

Fintech unicorn BharatPe, which is looking to secure INR 500 Cr debt through unlisted non-convertible debentures (NCDs), has reportedly marked the final close of its $100 Mn debt round.

The New Delhi-based startup’s new debt round comes after a gap of more than two years.

“InnoVen Capital is in the last leg to deploy one of its largest bets in BharatPe which could be anywhere in the range of $60-70 Mn,” Entrackr reported, citing a source requesting anonymity.

Besides, its NBFC arm Trillion Loans has also raised a separate debt round from Credit Saison.

Last year, BharatPe Group completed the acquisition of a 51% stake in Trillion Loans, a non-banking financial company (NBFC) based in Mumbai, as per Entrackr.

Founded by Achal Mittal and Gautam Adukia, Trillion Loans provides a range of secured and unsecured loans to SMEs, including small business loans, as well as working capital loans. It also offers a range of products for retail consumers such as auto, gold, and education loans.

BharatPe has opted for debt over equity as the company approaches break-even, aiming to avoid equity dilution at this juncture.

Last month reports surfaced that BharatPe was looking to secure INR 500 Cr debt through unlisted non-convertible debentures (NCDs).The company plans to secure the funds in multiple tranches throughout 2024.

Peak XV-backed BharatPe last raised $370 Mn at a valuation of $2.9 Bn in 2021. Backed by the likes of Peak XV Partners, Ribbit Capital, Insight Partners, Beenext, Dragoneer Investment Group, Steadfast Capital, Steadview Capital, and Tiger Global, BharatPe has so far raised over $583 Mn in equity.

BharatPe reported an 182% increase in standalone revenue from operations to INR 904 Cr in FY23 from INR 321 Cr in the previous fiscal year, helped by growth and strategic advancements across its key business segments.

In a statement, the startup said that its loss before tax narrowed 84% to INR 886 Cr in FY23 from INR 5,594 Cr in FY22. BharatPe’s EBITDA loss also declined by about INR 158 Cr in FY23, it said.

Meanwhile, the fintech giant is reportedly separating its lending service provider (LSP) business from the main entity by forming a new wholly owned subsidiary for lending. The new entity will be named BharatPe Money.