Meta Invests $900 Mn in CRED, Hires Kunal Shah to Lead WhatsApp

CRED Founder Kunal Shah has announced that he is stepping down from his role as CEO of the fintech company and will join Meta to lead WhatsApp globally.

The move comes alongside Meta’s planned $900 million investment in CRED as part of its Series H funding round, according to a statement.

The round values CRED at a post-money valuation of about ₹43,239 crore ($4.5 billion). The funding will comprise a mix of primary and secondary share purchases. 

Meta will join CRED's cap table as a minority investor and, under the terms of the deal, “will not receive access to CRED customer information,” the company said.

Shah said CRED’s Chief Strategy and Finance Executive, Miten Sampat, will take over as interim CEO. He added that he would remain a shareholder in the company.

“CRED is ready for its next phase,” Shah wrote in a post on X. “I’m stepping away from the operating role and will continue as a shareholder. My commitment doesn’t change. Just the role.”

CRED said it currently processes more than 40% of India's credit card bill payments. The company added that its lending business has grown to ₹24,000 crore (more than $2.5 billion) in managed assets under management (AUM) through partnerships with financial institutions.

“CRED has built a platform that catalyses financial progress for creditworthy Indians, with products across payments, lending, insurance, wealth, and lifestyle," the company said in the statement.

At Meta, Shah will succeed Will Cathcart, who has led WhatsApp since 2019. 

Meta CEO Mark Zuckerberg announced that Cathcart will step down as the head of WhatsApp after seven years in the role and will transition to a new position within Meta. 

“Will’s been one of Meta's most important and effective leaders, helping to bring WhatsApp to over 3 billion people and championing privacy for our community," Zuckerberg wrote in a post on Facebook. “I’m super grateful for his partnership and contributions over these years.”

According to Zuckerberg, Cathcart will remain at Meta and focus on building new products.

The leadership transition marks the end of Shah’s day-to-day involvement in a company he founded in 2018 after selling digital payments startup FreeCharge. 

Since its launch, CRED has grown to 17 million members and expanded beyond credit card bill payments into payments, lending, insurance, commerce, wealth management and credit cards. Shah said the company has scaled from zero revenue to approximately $325 million, or around ₹3,200 crore, in annual revenue.

He also said CRED completed four employee stock ownership plan (ESOP) buybacks between 2019 and 2025 and is now announcing a fifth buyback. The company recently recorded its first profitable quarter, Shah noted.

Shah credited CRED’s growth to a team that focused on ownership, judgment and craft. During his tenure, the company secured multiple regulatory licences and launched several products during the COVID-19 period.

Zuckerberg credited Shah with building CRED into a major technology company in India and said his experience would help him lead the messaging platform.

“Kunal built CRED into one of India’s most important technology companies, and he brings the kind of builder mentality and global perspective that will serve him well in running the world’s biggest messaging app,” Zuckerberg said.

Cathcart welcomed the transition and is expected to remain at Meta during the handover before moving to a new role within the company.

“WhatsApp is in the strongest position it's ever been — and that felt like the right moment to step back. I'm so proud of what we have built. We scaled end-to-end encrypted messaging to more than three billion people,” he said.

Shah said he sees significant room for growth at the messaging platform.

“While it’s come very far, the delta between WhatsApp today and its full potential is massive,” he said. “I look forward to working with Mark, Chris, and the leadership across Meta for the next step in WhatsApp's journey.”

WhatsApp is one of Meta’s largest products, serving more than three billion users worldwide. Meta acquired WhatsApp in 2014 and also owns Facebook, Instagram and Messenger.