KreditBee raises $280M, joins unicorn club at $1.5B valuation
What's the story
Bengaluru-based fintech start-up KreditBee has joined the unicorn club after raising $280 million in a pre-IPO round. The consumer lending company is now valued at $1.5 billion post-money. The funding was led by Motilal Oswal Alternates, Hornbill Capital, and MUFG-backed Dragon Funds. Existing investors Premji Invest and Advent International also participated in this round along with WhiteOak Capital and A.P. Moller Holding. With this latest investment, KreditBee's total funding has reached approximately $540 million.
Future plans
KreditBee's risk management has remained stable during major events
The latest funding round, which includes secondary capital, will be used to expand KreditBee's credit business. This will include newer verticals such as secured lending and MSME (Micro, Small and Medium Enterprises) lending. Co-founder and CEO Madhusudan Ekambaram said their risk management has remained stable even during major events like COVID-19 or economic downturns like the MFI crisis in 2024.
Company growth
KreditBee's revenue and profit for FY25
Founded in 2018 by Ekambaram, Vivek Veda, and Karthikeyan Krishnaswamy, KreditBee has previously raised $145 million and $100 million in 2021 and 2023, respectively. The company reported a revenue of ₹2,700 crore and a net profit of about ₹470 crore for FY25. It has disbursed over 60 million loans with assets under management (AUM) of around ₹15,000 crore in FY26—43-44% growth over the ₹10,100 crore AUM reported in FY25.
Service diversification
Recent expansions in services by KreditBee
In recent years, KreditBee has expanded its services to include loans against property or secured lending, two-wheeler loans, and MSME loans. The secured lending AUM has already reached ₹1,000 crore while the MSME lending segment has grown to ₹500 crore. The company's average ticket size is around ₹60,000 with first-time borrowers starting with loans of ₹20,000.