[Funding alert] Invoice discounting platform KredX raises $26M in Series B round led by Tiger Global
Invoice discounting platform KredX on Wednesday said it has raised $26 million (Rs 187 crore) as part of its Series B round led by Tiger Global Management, along with participation from existing investors for a minority stake in the company.
The startup will use the new capital to accelerate its expansion by hiring across functions, including senior leadership hiring and step up the development of new products.
The capital will also be used to further build its IP and create a niche in the supply chain finance ecosystem, as well as for strategic acquisitions.
Started by Manish Kumar and Anurag Jain in 2015, KredX helps businesses meet their short-term working capital needs by facilitating discounting of their unpaid invoices.
Speaking about the company, Manish Kumar, Founder & CEO, KredX, said,
“KredX platform works closely with suppliers, corporates, and investors to make the money flow in a supply chain ecosystem more efficiently. A vendor is able to unlock its working capital tied-up in invoicing, in turn benefitting the associated corporate with higher efficiency. For our investors, it is a hassle-free alternative investment with high returns. We have also recently launched Capex Discounting as a unique way to fund growth Ccapital for the companies as well.”
According to the company, until now, it has processed more than 500,000 invoices helping more than 5,000 suppliers raise capital through more than 10,000 investors across 36 cities.
In October 2016, the company raised funds from Sequoia Capital and Prime Ventures Partners as part of their Series A funding.
“We are excited to partner with KredX, and believe the company has created an efficient and trusted lending marketplace connecting Indian companies with institutional investors,” said Scott Shleifer, Partner, Tiger Global.
“Being in the midst of B2B payment ecosystem, our transaction processing volume has crossed $2.4B annually and is forecasted to double it in the next twelve months. With wider acceptance of our products, we are well-positioned to serve the entire spectrum of the supply chain for any company," said Anurag Jain, Founder and Executive Director, KredX.
Currently, KredX, works with over 120 corporate houses including names such as Tata Croma, Future Group, Vedanta to name just a few.
(Edited by Megha Reddy)