Bengaluru-based fintech Unicorn said Tuesday it will acquire CreditVidya, a Hyderabad-based SaaS company, in a cash-and-stock deal. The value of the deal was not disclosed by the companies.
"We have invested in creating category-defining products through our partners that provide financial services to Indians with low credit scores, revolutionising how we assess risk and measure trust to advance financial inclusion.," said Abhishek Agarwal, Co-Founder and CEO of CreditVidya.
Closing of the acquisition is subject to requisite approvals.
CreditVidya offers a platform for loans as a service and is valued at about 30 million dollars after payment. It allows lenders to assess the creditworthiness of loan applicants. Many of the applicants it processes are first-time borrowers.
CRED was founded in 2018, went viral for its innovative advertising, and claimed that the two organizations would continue to operate independently. It will also offer an ESOP and other benefits to CreditVidya's 200 plus team members.
"Expanding access to credit is a key driver of financial progress. CreditVidya's suite of proprietary technology reveals signs of trust among underserved groups. We look forward to supporting them in managing an inclusive credit ecosystem," said Kunal Shah, Founder of CRED .
Backed by Tiger Global and Sequoia India, among others, CRED has been on an acquisition spree since October 2021, when it acquired liquor delivery app HipBar, followed by expense management platform Happay in December. It also invested in lending partner LiquiLoans earlier this year.
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