Lendingkart Technologies today announced that it has raised Rs 70 crore ($10.51M) in the form of equity funds. Singapore-based Sistema Asia Fund along with current investors – Bertelsmann India Investment, Mayfield India, Saama Capital, India Quotient and Darrin Capital Management participated in this round.
With this fresh funding, the company has raised total funding of Rs 534 crore (equity of 243 crore and debt of 291 crore). The latest infusion of equity capital will enable the company to increase their loan book and strengthen its technology & analytics capabilities. Additionally, this will aid the company to further reach out to the underserved markets of India that continue to face lack of access to funds.
Founded in 2014, by ex-Banker & ISB Hyderabad alumnus, Harshvardhan Lunia and ex-Finance Director at Lebua Group Bangkok & IIM Bangalore alumnus, Mukul Sachan, Lendingkart Group has built a technology platform to service the working capital financing needs of SMEs in India.
Harshvardhan Lunia, Co-Founder and CEO, Lendingkart Technologies said, “It is amazing to be associated with people who believe in us and share our vision of fulfilling credit requirements of millions of SMEs across the country. We are excited to have Sistema Asia Fund on board and look forward to further building our relationships with existing investors who continue to bring to the table fresh perspectives and strategic insights on market dynamics of current and future trends. It is this support that will help us in becoming the leading lending platform for SMEs in India.”
Dhruv Kapoor, Managing Director, Sistema Asia Fund Advisory said, “It is heartening to witness the exponential pace at which Lendingkart Technologies is scaling and solving a fundamental problem that ails small businesses in the country. Lendingkart’s data science driven approach and contactless distribution model is the answer to the needs of the SME sector overlooked by traditional banking infrastructure. We are privileged to join a world class team and an esteemed group of investors in fostering our collective vision of financial and digital inclusion.”
Pankaj Makkar, Managing Director, Bertelsmann India Investments said, “We are delighted to be continuing our relationship with Lendingkart Technologies that is working towards funding the underbanked SMEs. Digital lending is at an inflection point where technology and big data can help innovate on creating touchless credit evaluation and distribution leading to access of capital to the SME sector across the country. We are proud to be part of such a journey where Lendingkart is redefining the traditional business model and overcoming all existing barriers.”
Currently, Lendingkart Finance has extended its reach to over 720 cities in India across 29 states and 7 union territories offering quick and easy collateral-free loans with minimal paperwork. Once the evaluation process is completed, loan amount is disbursed to the qualifying borrower within 72 hours from the time of application. Till date, over 300,000 SMEs have reached out to Lendingkart Finance for their credit requirement and already 10,000+ SMEs have received funds.
Last month, LendingKart has raised $10 million (Rs 67 crores) debt fund from Kotak Mahindra Bank, Aditya Birla Financial Services and other financial institutions.
Image: Harshvardhan Lunia, Co-Founder and CEO, Lendingkart Technologies