Latest news with #Cred
Time of India
4 days ago
- Business
- Time of India
Zerodha CEO Nithin Kamath goes for Credit Check on Zerodha Capital, sends message to Cred CEO Kunal Shah
Zerodha CEO Nithin Kamath recently revealed that his credit score 747 isn't 'good enough' to qualify for CRED, the elite credit rewards platform founded by Kunal Shah. For those unaware, Cred is known for its exclusive platform, which typically requires users to have a credit score of 750 or higher to access its rewards and services. The Zerodha CEO posted a screenshot on X (formerly known as Twitter) revealing his credit found and CEO Kunal Shah was also quick to respond to Kamath's post. Zerodha CEO Nithin Kamath fails Cred test Recently, Zerodha CEO Nithin Kamath took to X to share a screenshot of his credit score using Zerodha Capital . In his post he also tagged Cred co-founder and CEO Kunal Shah. 'I did a credit check on @zerodhacapital to check out the flow, and my score is 747. So I am not good enough for @CRED_club , @kunalb11 ,' wrote Kamath. Kamath also informed users that they can check their credit score in some simple steps using Zerodha Capital. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Giao dịch vàng CFDs với mức chênh lệch giá thấp nhất IC Markets Đăng ký Undo Cred CEO Kunal Shah responded to Zerodha CEO Nithin Kamath's credit score Cred founder and CEO Kunal Shah was also quick to respond to Kamath's query. 'I'll call you and help you fix it. Glad you're caring about scores and increasing awareness. More people need to do this :),' replied Shah. 'Haha, welcome to the "747 Club", Nithin!…' commented users The exchange sparked a wave of reactions online—from users flaunting higher scores to others questioning the rigidity of India's credit rating systems . 'Haha, welcome to the "747 Club", Nithin!Not high enough for CRED, but perfect for domestic flights!On a serious note, we've got the Ultimate Credit Score Guide posted on the TF Community - your shortcut to cracking that 800+ zone (no secret handshakes required),' commented a user. 'I think you took a loan and missed a payment, which is why your credit score is not eligible for a personal loan with a low interest need to improve your credit score—maybe consult Instagram financial influencer,' posted another user. AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
13-06-2025
- Business
- Time of India
ETtech Deals Digest: Indian startups raise $160 million this week, up 75% on-year
Indian startups raised around $160.3 million during the week of June 7 to 13, a 74.7% jump from the $91.8 million raised during the same period last year, according to data from Tracxn . The tally also marked a 12.4% increase over the $142.7 million raised last week. Despite the rise in funding value, deal activity remained muted, with only 16 transactions recorded this week. This was less than half of the 34 deals seen in the corresponding week last year. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like War Thunder - Register now for free and play against over 75 Million real Players War Thunder Play Now Undo ETtech Top deals of the week Cred : Fintech firm Cred closed a funding round of about $72 million at a sharply reduced valuation of $3.5 billion. This marks a steep 45% cut from the $6.4 billion valuation at which the company last raised capital in 2022. Singapore's sovereign wealth fund GIC , through its investment arm Lathe Investment, led the funding. Live Events Flexiloans : New-age non-banking finance company (NBFC) Flexiloans raised around $43.8 million in a mix of primary and secondary capital. The round was led by existing investors Nandan Nilekani's Fundamentum, US-based impact investor Accion Digital Transformation, American asset management firm Nuveen, and Denmark-based asset management major Maj Invest. Discover the stories of your interest Blockchain 5 Stories Cyber-safety 7 Stories Fintech 9 Stories E-comm 9 Stories ML 8 Stories Edtech 6 Stories Vecmocon : Deeptech startup Vecmocon Technologies raised $18 million in a funding round led by Ecosystem Integrity Fund (EIF) , with Blume Ventures and Aavishkaar Capital participating. ETtech
Time of India
12-06-2025
- Business
- Time of India
Startups raise funds but valuations shrink
This is an AI-generated image, used for representational purposes only BENGALURU: Over the past two years, an increasing number of Indian startups raised capital at significantly lower valuations, reflecting a sustained reset in the late-stage venture funding market. According to data from Tracxn, at least 55 companies across sectors like fintech, SaaS, and consumer internet experienced valuation declines since January 2023. Notable markdowns include Cred, which raised $75 million in May at a valuation of approximately $3.5 billion-down nearly 45% from its 2022 peak of $6.4 billion. Meesho secured $275 million last year at a $3.9 billion valuation, reduced from $4.9 billion previously. Oyo raised $175 million in 2023 at an implied valuation of about $2.5 billion, a steep drop from its earlier high near $10 billion. Swiggy also lowered its valuation targets while preparing for its IPO, raising $46 million in 2023. Beyond these well-known names, valuation markdowns affected a wide range of companies, including Flipkart, Pratilipi, Shiprocket, MobiKwik, GreyHR, Zolo, Lendingkart, Udaan, PayMate, Pepperfry, OfBusiness, Fisdom, and others. These adjustments spanned both primary and secondary transactions, with several companies recalibrating their private valuations in preparation for upcoming public listings. Venture investors point to a combination of inflated valuations during the 2021-2022 boom cycle and a subsequent recalibration of revenue multiples. "The fundamental problem is not with the companies themselves. Many of these companies continue to grow. The markdowns are largely a reset from highly inflated multiples that investors were willing to pay during 2021 and 2022," said Mohan Kumar, founder and managing partner at Avataar Venture Partners. He said that SaaS companies, which saw revenue multiples of 30-100 times during the peak funding period, largely reverted to historical norms. "For late-stage SaaS companies today, if you are growing at 30% and profitable, you may command around 10 times revenue. For others, the multiple is more in the 7-8 times range. The pandemic era was an aberration where free capital distorted pricing," Kumar added. In enterprise software, which saw some of the steepest pandemic-driven valuation spikes, multiple compression drove significant markdowns. Postman, for instance, saw secondary transactions at valuation levels 30-40% below its earlier $5.6 billion peak. Investors now broadly expect valuations to remain tied closely to profitability and revenue growth metrics. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
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Business Standard
10-06-2025
- Business
- Business Standard
Cred's valuation slump signals caution for India's fintech companies
Fintech player Cred's recent fundraise of $75 million has come at a sharp reset of its valuations — signalling that the exuberance in the sector is coming down. After the fundraise, the firm's valuation has gone down to $3.5 billion, a fall of 45 per cent from the $6.4 billion in 2022. Valuations have fallen even as existing investors put money in the company, including Kunal Shah, founder and chief executive officer (CEO), Cred. 'Between 2022 and now, there has been a reset in the fintech market, both domestically and internationally. We have seen valuations come down and that is evident in the Cred fundraise. It will be fair to say that the market is much more realistic now,' said a person in the know. 'When Cred made its entry, it genuinely had a different offering. But now, it has also got into credit. How is it different from any other fintech? There is not much innovation there. If you look at the credit segment (personal loans), almost all the fintechs have a write-off in the range of 12-13 per cent. I don't think Cred will be any different,' said an investor when asked why the firm has seen its valuation drop so low. Another head of a fintech-focused fund said that valuation fall is normalisation happening in the sector. 'There is a realisation that the situation is not where it was or when it started. And, gone are the days when people said fintechs have no speed breaks, no hurdles…that has been proven wrong,' he said. This is evident in the numbers too. The fintech sector has raised a total of $4.5 billion so far (year-to-date or YTD), down 29 per cent compared to $6.4 billion raised in the same period last year. Cred is not the only player in the fintech ecosystem that is seeing this markdown. Earlier this year, when Fullerton Financial Holdings acquired a controlling stake in Lendingkart, the latter's valuation came down to $100 million from $821 million in December 2024, according to data from Tracxn. The trend of discount to valuation has impacted the non-fintech segment too. Recently, when Udaan closed its funding at $114 million, it did so at a flat valuation of $1.8 billion. The sector has also been impacted by regulatory changes that the central bank has introduced in recent times. This includes norms such as digital lending guidelines (DLGs), first loss default guarantee (FLDG), and increased risk weights for unsecured personal loans. In the case of Cred, it looks like the firm has chosen to raise funds at a lower valuation as it looks at expanding product portfolio and reach. 'Cred has been focused on reducing profits and being earnings before interest, taxes, depreciation and amortisation (Ebitda) positive as it wants to reduce cash burn. By opting to raise funds at a lower valuation, it is a clear signal that it is chasing strong growth,' said another source. The company — over the past 18 months — has focused on launching products and offerings. In February, it announced a suite of products under the Savlbard brand, including a credit line against mutual funds (MFs). It also included a tool to predict and improve customers' credit scores, and a non-profit entity called Cred Foundation aimed at financial literacy. Cred is also among the earliest players to launch Cred eRupee wallet in beta mode. The company also entered the insurance space through its vehicle management platform Cred Garage. New product launches and services have also seen an improvement in the financial performance of the company. For FY24, it managed to reduce losses to Rs 609 crore from Rs 1,024 crore in FY23. According to filings, Cred raised this fund in a series-G round from Singapore's GIC, along with RTP Capital and Sofina. 'At the early stage, you're often investing in a promise — a large market, a potential business model, and the assumption that if it works, it will work big,' said an investor about Cred's valuation reduction. He added, 'But as companies mature, valuations need to start reflecting business fundamentals. The gap between promise and performance can't stay wide forever.' 'I don't know about the company (CRED) specifically and cannot comment with authority on the reasons. However, I do not see anything wrong with companies raising money at lower valuation than earlier. This is largely happening in the industry because of reset in valuation multiples from the peak of Covid times,' said Ashish Kumar, co-founder and general partner, Fundamentum, the venture capital (VC) firm led by Nandan Nilekani 'Valuation multiples reflect investors sentiment on industry or company growth, broader liquidity, higher competition amongst a host of other factors. The fintech sector and many other relatively mature tech sectors indeed have profitability expectations and it is good for the ecosystem,' said Kumar.
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Business Standard
10-06-2025
- Business
- Business Standard
Cred's $3.5-bn valuation reflects a broader reset in Indian fintech
The sharp markdown despite backing from existing investors reflects growing investor caution and a broader recalibration in the Indian fintech and credit-led ecosystem Shivani Shinde Peerzada Abrar Mumbai Listen to This Article Fintech player Cred's recent fundraise of $75 million has come at a sharp reset of its valuations — signalling that the exuberance in the sector is coming down. After the fundraise, the firm's valuation has gone down to $3.5 billion, a fall of 45 per cent from the $6.4 billion in 2022. Valuations have fallen even as existing investors put money in the company, including Kunal Shah, founder and chief executive officer (CEO), Cred. 'Between 2022 and now, there has been a reset in the fintech market, both domestically and internationally. We have seen valuations come down and that is
