IIFL Fintech Fund gains 80% returns from Truecaller's acquisition of TrustCheckr

India Infoline Finance Limited (IIFL) Group's IIFL Fintech Fund has made its first exit from SaaS platform TrustCheckr, yielding 80% returns in 18 months for investors, said a statement by the company.

The IIFL Group’s early-stage investment vehicle sold its stake in the fraud detection platform to TrueCaller for an undisclosed amount. The caller identification and spam protection platform acquired TrustCheckr last week for an undisclosed amount to strengthen its B2B offerings, especially its enterprise risk intelligence tool.

IIFL Fintech Fund had invested in TrustCheckr in March 2022.

"With TrustCheckr also, we went beyond the business aspect to enhance their overall product and platform to ensure business adoption. Attaining an 80% IRR and ensuring early liquidity to our investors (in less than 18 months) underscores our commitment to ensuring our investors make maximum returns," said Mehekka Oberoi, Fund Manager, IIFL Fintech Fund.

"When we invested in TrustCheckr, they showed immense promise, but were still relatively undiscovered by a lot of investors. Our investment thesis was built on thorough research, a deep understanding of the industry, and a belief in the company's growth potential," she added.

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The IIFL Fintech Fund was founded in August 2021 with a corpus of Rs 210 crore and backed by group entities: IIFL Finance and IIFL Securities. The fund has focused its investments on early-stage fintech startups, with 13 investments in the past two years.

So far, IIFL Fintech Fund has backed Trendlyne, Leegality, FinBox, DataSutram, Multipl, Finarkein, TrustCheckr, Finvu, Insurance Samadhan, and Easyrewardz.

“IIFL Fintech Fund has been instrumental in our product development and enhancing business growth strategy. They played a vital role in the fundraising and M&A process,” noted Adhip Ramesh, Co-founder, TrustCheckr.

TrustCheckr assists businesses in verifying customer information and detecting fraud risks through a SaaS platform that utilises phone numbers and digital signals.