In a fresh funding round led by Singapore-based Equentia Natural Resources, fintech startup CredAble has raised $10 million. For the Mumbai-based company, this is their second investment in as many months.
In order to raise Rs 83 crore, or $10 million, the CredAble board has decided to issue 11,963 preference shares in November 2023 at an issue price of Rs 69,384 apiece, according to the company’s regulatory filing obtained from the Registrar of Companies.
According to filings, the company will use the proceeds to fund growth and expansion, general corporate operations, and working capital requirements.
Axis Bank, a private lender, and Oaks Asset Management led CredAble’s most recent $9 million fundraising round in August 2022. To date, the company has raised over $55 million.
CredAble, which was established in 2017, offers working capital to financial institutions, MSMEs, and large, mid, and emerging corporates.
Around 125 enterprise clients and over 3 lakh small business borrowers are listed on the company website. Over 35 sizable financial institutions are partners with the company as well. In 2023, it reportedly disbursed Rs 45,000 crore of working capital, a 100% increase from the previous year (FY22).
A $50–70 million Series C round is reportedly being discussed by the company.
The operating revenue of CredAble increased 2.78 times from Rs 4.92 crore in FY22 to Rs 13.94 crore in FY23. In an attempt to expand, the company’s losses increased 3.37 times, from Rs 6.53 crore in FY22 to Rs 22.40 crore in FY23.
