Lendingkart, a digital lending platform focused on small and medium enterprises (SMEs), has raised Rs 100 crore ($12 million) in debt and Rs 8 crore (nearly $1 million) in equity from Stride Ventures. This marks the second significant debt financing round for the Ahmedabad-based company within the past year.
The board of Lendingkart has approved a resolution to issue 10,000 non-convertible debentures and 454 Series D5 CCPS to raise a total of Rs 108 crore ($13 million), according to regulatory filings accessed from the Registrar of Companies (RoC).
With the latest funding, the Temasek-backed company has amassed Rs 318 crore ($38 million) in debt to date. The new debt funding will be disbursed in two tranches of Rs 50 crore ($6 million) each, carrying an annual coupon rate of 14%.
In May, Lendingkart secured $10 million through external commercial borrowing (ECBs) from a fund managed by BlueOrchard. To date, Lendingkart has raised Rs 1,050 crore ($126 million) in equity capital from investors such as Fullerton, Bertelsmann, Mayfield India, Saama Capital, Sistema Asia, and India Quotient.
Lendingkart primarily offers loans with an average ticket size ranging from Rs 5 lakh to Rs 6 lakh to MSME business owners. According to its website, the company has disbursed over Rs 18,700 crore to more than 300,000 businesses across 4,100 cities.
The company’s performance in FY23 was robust, with revenue from operations growing by 33.4% to Rs 858 crore and a net profit of Rs 119 crore. Lendingkart is yet to file its annual financial results for FY24.
Looking ahead, Lendingkart is reportedly planning an initial public offering (IPO) by next year, aiming to exceed Rs 10,000 crore in assets under management before going public.
