Total amount raised
$32.7 Million
Latest funding date
12/1/2019
Location
KredX has successfully raised funds through three funding rounds, with the latest being a Series B round led by Tiger Global Management. The platform is backed by notable investors including Peak XV Partners and Prime Venture Partners.
Keep reading to explore the intricacies of KredX's fundraising journey and the investors backing this innovative platform.
What Is KredX?
KredX is a prominent player in the finance and fintech sectors, specializing in supply chain finance and invoice discounting. Founded in Bangalore, Karnataka, India, the company operates an RBI-licensed TReDS platform that provides fast, collateral-free access to funds by connecting suppliers, buyers, and financiers.
With a workforce of 101-250 employees, KredX has established itself as a significant entity in the financial services industry. The company offers a range of financial solutions, including domestic and import-export factoring, and has made notable achievements, such as acquiring Hummingbill.
How Much Funding Has KredX Raised?
- Seed Round
- Amount Raised: USD 750,000
- Date: April 2016
- Lead Investors: Prime Venture Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the initial growth and development of the platform.
- Series A
- Amount Raised: INR 400,000,000 (approximately USD 6,000,000)
- Date: October 2016
- Lead Investors: Peak XV Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To strengthen technology, data, and sales functions.
- Series B
- Amount Raised: USD 26,000,000
- Date: December 2019
- Lead Investors: Tiger Global Management
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the platform's capabilities and market reach.
Total Amount Raised: USD 32,750,000. Current Valuation: Not publicly disclosed.
Key Investors
- Tiger Global Management
- Details: Tiger Global Management is a leading global investment firm that focuses on private and public companies in the technology sector. It has a strong track record of investing in high-growth companies worldwide.
- Investment Focus Areas: Technology, Fintech, Consumer Internet
- Notable Investments: Facebook, LinkedIn, Spotify
- Peak XV Partners
- Details: Peak XV Partners, formerly known as Sequoia Capital India, is a prominent venture capital firm with a strong presence in India. It has a history of successful investments and exits in the fintech sector.
- Investment Focus Areas: Fintech, Healthcare, Consumer
- Notable Investments: FreeCharge, Prizm Payments, Citrus
- Prime Venture Partners
- Details: Prime Venture Partners is an early-stage investment firm that focuses on technology-driven startups. It has been a significant backer of KredX since its early days.
- Investment Focus Areas: Fintech, SaaS, Healthcare
- Notable Investments: MyGate, Happay, Ezetap
- Sequoia Capital India
- Details: Sequoia Capital India is a leading venture capital firm with a strong track record in the financial technology sector. It has made several successful exits in the fintech space.
- Investment Focus Areas: Fintech, Consumer, Enterprise
- Notable Investments: Capital Float, MobiKwik, Pine Labs
What's Next for KredX?
As KredX looks to the future, the opportunities are vast. The company is poised to capitalize on the $100 billion invoice discounting market, expanding its platform to include banks and NBFCs. This growth potential is bolstered by recent regulatory changes allowing 100% FDI, which could attract significant future investments.
With the backing of prominent investors like Sequoia Capital and Prime Venture Partners, KredX is well-positioned for additional funding rounds. These funds will likely be used to enhance technology, data, and sales functions, further solidifying its market presence.
However, challenges remain. Navigating regulatory updates and ensuring a steady flow of high-quality invoices are critical. Competition from traditional banks and other fintech platforms also poses a threat. Yet, with a strong foundation and strategic vision, KredX is set to make significant strides in the fintech landscape.
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