Fintech unicorn CRED to acquire SaaS startup CreditVidya
- CRED said that it will acquire SaaS startup CreditVidya in a stock-and-cash deal.
- The two organisations will work independently, but CRED will offer benefits, including stock options, to CreditVidya’s team members.
- Earlier in 2021, CRED also acquired liquor delivery app HipBar and expense management platform Happay.
Bengaluru-based fintech unicorn CRED said on Tuesday that it will acquire CreditVidya, a Hyderabad based SaaS company, in a cash and stock deal. The companies have not disclosed the value of the transaction.
“We’ve invested in building category-defining products that bring financial services to credit under-served Indians through our partners, transforming how risk is assessed and trust measured to drive financial inclusion,” said Abhishek Agarwal, co-founder & CEO, CreditVidya.
The closure of the acquisition is subject to requisite approvals.
CreditVidya offers a lending-as-a-service platform, and is valued at about $30 million post-money. It enables lenders to assess a loan applicants’ creditworthiness. Many of the applicants it processes are first-time borrowers.
Founded in 2018, CRED, which went viral for its out-of-the-box advertisements, stated that the two organisations will continue to work independently. It will also offer its ESOP programme and other benefits to CreditVidya’s 200-plus team members.
“Expanding access to credit is a key driver for financial progress. CreditVidya’s patented tech stack uncovers signals of trust among under-served cohorts. We look forward to supporting them in powering an inclusive credit ecosystem,” said Kunal Shah, founder, CRED.
Backed by Tiger Global and Sequoia India, among others, CRED has been on an acquisition spree since October 2021, when it acquired liquor delivery app HipBar, followed by expense management platform Happay in December. It also invested in lending partner LiquiLoans earlier this year.
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