LenDenClub Raises $ 10 Million in Series A Funding
Bengaluru: Peer-to-peer lending platform LenDenClub raised $ 10 million in a Series A round co-led by a consortium of investors including Tuscan Ventures, Ohm Stock Brokers and Artha Venture Fund, has the company announced on Tuesday.
Other participating investors included Cred founder Kunal Shah; Alok Bansal, co-founder of PolicyBazaar; Livspace founder Ramakant Sharma and Indian cricketer Hardik Pandya, among others.
After the roundtable, LenDenClub is now valued at over $ 51 million.
The company plans to use the proceeds of the current fundraiser to invest heavily in innovating and upgrading its proprietary technology stack platform, while building its leadership strength through executive hires.
It also plans to increase the size of its operational team and increase recruitment in technical, product and marketing functions by the end of the next fiscal year.
Seven-year-old LenDenClub is leveraging technology to put borrowers and investors on the same platform – offering instant loans to borrowers and next-generation investment options to investors across the country.
“We are privileged and excited to bring extremely diverse investors into this cycle and use their expertise to fuel the growth of LenDenClub. The goal is to accelerate growth while maintaining the profitability of operations, ”said Bhavin Patel, co-founder and CEO of LenDenClub.
The company claims to have already spent more than ??1,200 crore of loans in this fiscal year alone. The new capital will be used in an aggressive expansion, bringing the growth of its loan portfolio to $ 1 billion and increasing the number of users to 10 million from the current 2.5 million by fiscal year 2022- 2023, he said.
LenDenClub currently has 1 million investors and processes over 2.5 lakhs of loan applications every month.
“We are delighted to see such a rich treasure trove of investors supporting a startup that we have seen go from 1 to 2 loans per month, to over 35,000 loans. We look forward to seeing where this investment cycle takes LenDenClub and the path it takes, ”said Anirudh A Damani, Managing Partner, Artha Venture Fund.
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