InCred Holdings secures ₹500 cr equity funding commitment

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InCred Holdings Ltd (IHL), the holding company of InCred Financial Services Ltd (IFSL), on Thursday said, it had secured commitments totalling  ₹500 crore in its latest round of equity funding, positioning it to join the ranks of Indian Unicorns after the closure of its Series D fundraise.

The equity round garnered interest from various investors, including a global Private Equity Fund, Corporate Treasuries, Family Offices, and UHNIs, per an IHL statement.

The equity capital of ₹500 crore will be strategically deployed across InCred’s core business verticals: Consumer Loans, Student Loans, and MSME Lending.

“The market for Student Loans in India has surged, driven by the doubling of US student visas issued to Indians from 50,000 to 100,000 over the past two years. The MSME business is substantially growing, particularly in the secured LAP market nationwide.

“Finally, the Consumer Lending business is benefitting from healthy demand driven by overall economic growth as well as the usual festive season boost,” IHL said.

Bhupinder Singh, Founder & Group CEO of InCred, observed that this funding commitment marks a significant milestone in the company’s journey and takes it into the ranks of Unicorns.

“With our ‘Risk First’ approach, cutting-edge technology, and class-leading management team, we are well-positioned for sustained growth in the business over the years to come…and to eventually list the business unlocking significant value for all our shareholders.”

InCred Finance has built a ₹7,500 crore loan book within six years, clocking a CAGR (compounded annual growth rate) of 50+ per cent over the last three years, the company said.

InCred Group operates in the BFSI space through 3 entities – ‘InCred Finance’ in Lending, ‘InCred Capital’ in Wealth and Asset Management, Investment Banking and Equities, and ‘InCred Money’ in retail bonds and alternative investments.