LenDenClub raises USD 10 mn in Series-A funding; fresh capital to be used to expand loan book, user base, company says
P2P lending platform LenDenClub has raised USD 10 million in a Series-A round co-led by a consortium of investors including Tuscan Ventures, Ohm Stock Brokers, Artha Venture Fund, CRED Founder Kunal Shah, and Policybazaar Co-founder Alok Bansal, the company said in a media release
Peer-to-peer (P2P) lending platform LenDenClub has raised USD 10 million in a Series A round co-led by a consortium of investors including Tuscan Ventures, Ohm Stock Brokers, Artha Venture Fund, CRED Founder Kunal Shah, and Policybazaar Co-founder Alok Bansal, the company said in a media release.
The fresh capital will be for expansion and taking company’s loan book growth to USD 1 billion and upscaling the user-base to 10 million from the current 2.5 million by FY 2022-23, the release said. The company has disbursed over Rs 1200 cr worth of loans in this fiscal alone, it said.
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The company was founded in 2016 by Bhavin Patel and Dipesh Karki. It currently has two loan products - InstaMoney for salaried customers and small business loans for merchants and shopkeepers.
“At LenDenClub we have always emphasised on leveraging technology creatively while adapting to an ever-evolving financial services marketplace,” Patel said.
“We are privileged and delighted to bring on-board immensely diverse investors in this round and use their expertise to fuel further growth at LenDenClub,” the CEO said adding that the aim was to accelerate growth while maintaining profitability in operations.
LenDenClub, which is eyeing to offer a host of financial services as the next frontier transitioning to a digital banking model has 1 million investors and has registered loan disbursements worth more than Rs 2000 cr, the release said.
The company aims to invest heavily in innovating and upgrading its proprietary tech-stack platform to aid and upkeep the growth in its customer base whilst supporting all kinds of banking operations conducted on its platform.
Additionally, the company also plans to enhance its leadership strength and is eyeing strategic C-suite appointments in pursuit of its expansion goals, besides increasing the operational team size by the end of the next fiscal. It is eyeing fresh recruits for the role of tech, product, marketing, and customer service who will aid its growth plans of upscaling its presence across the country, the release further said.
After the current round of funding, LenDenClub is valued over USD 51 million, it claimed in the release. The company now aims to scale up eyeing a 5 rimes growth in disbursals in the next 18 months, it said.
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