CRED

CRED set to raise $75 million at $3.5 billion valuation

The down round will help stabilize the Kunal Shah-helmed fintech’s runway as it tackles headwinds in unsecured lending. CRED is close to announcing a deal to raise $75 million from existing investors, with the round being led by Singaporean sovereign wealth fund GIC. The deal values the company at $3.5 billion, a decrease from its $6.4 billion valuation in 2022. The company reported revenue of Rs 2,473 crore and a loss of Rs 1,644 crore in FY23-24.

CRED is facing a catch-22 situation

Abir Dasgupta / March 7, 2025

CRED is facing a catch-22 situation. The platform, founded by Kunal Shah, spent heavily on growth and acquiring affluent users. Despite substantial revenue growth in FY25 (₹1,473 crore), the company is yet to turn a profit. Its main revenue driver is the loans business (about 85% of FY25 revenue), but the growth rate of loan distribution has suffered a downturn. Analysts suggest CRED may not have enough cash left to build another vertical or sustain its current high valuation without significant fundraising.

CRED set to raise $75 million at $3.5 billion valuation

CRED is facing a catch-22 situation

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