CRED has begun to engage with investors to raise money at a valuation of $5.5 billion eyeing international expansion and inorganic growth
The startup has received a number of inbound requests from investors and has also held talks with some in recent days to raise capital at a pre-money valuation of $5.5 billion, deliberations for the new financing round are at a very early stage and the terms may change, the source said.
In its conversations with investors, CRED founder and chief executive Kunal Shah has said that he plans to deploy the capital to invest in — and acquire — fintech startups, people familiar with the matter said.
CRED, which helps people improve their credit score by paying bills on time and has amassed over 7.5 million members, has this year also explored aggressively expanding its e-commerce platform.
CRED has also expressed intentions to expand outside of India to potential investors. Shah told one investor that he has identified one international market where CRED is exploring to launch its offering, another person familiar with the matter said.