Credgenics, a debt resolution, and legal automation platform, on Tuesday, said it has received USD 25 million (about Rs 186 crore) in funding from Westbridge Capital, Tanglin Venture Partners, and Accel Partners. The series A round also saw the participation of investors like Ashneer Grover (BharatPe founder), Abhimanyu Munjal (Hero Fincorp Group MD and CEO), Karthik Bhat (Force Ventures founder), Kushal, and Gautam (Fareye founders), a statement said.
The company has seen its valuation multiply by 5.5 times to USD 100 million within six months from its last fundraise, it added. The funds will be used to expand into new demographics, strengthen the R&D, scale the core operations across India, improve client services, and streamline the workflow, it said. Founded in 2018 by Rishabh Goel, Anand Agrawal, and Mayank Khera, Credgenics manages over Rs 1,580 crore of debt on its financial platform and helps their clients by improving the resolution rates
It has over 150 people, including more than 70 engineers. The platform also collaborates with more than 2200 legal counsels pan-India for late-stage delinquencies. In 2020, Credgenics had raised USD 3.5 million in a pre-series A round led by Accel Partners, DMI Alternatives fund with participation from the existing investor, Titan Capital. In India, where the credit demand of more than USD 600 billion is being met through informal sources, digital lending is set to cross the USD 100 billion mark by the end of 2023
The increased disbursement of credit has led to a spike in the NPAs for both NBFCs and banks,” Rishabh Goel, co-founder, and Chief Executive Officer of Credgenics said. He added that the funds of the new financing round will be utilised to find experienced professionals across all levels and build a world-class leadership team. “We will further upgrade the core offerings, enhance product developments, and boost the R&D. The roadmap also includes International expansion beyond the Indian demographics.
This includes a thorough R&D on the judiciary and fiscal measures prevalent there and then remedy their bad debts situation, he said. Anand Agrawal, co-founder, and CTO of Credgenics said the funding would help the company build the best product and technology team and unleash a set of new debt collection offerings.
