MoneyTap has announced that it has secured funding of ₹500 crores in equity and debt, setting them up to create a loan book of ₹5,000 crores over the next 12-18 months. The Equity Series B round is led by global funds, including Aquiline Technology Growth (ATG), RTP Global and Sequoia India, along with Korea and Japan-based investors. Existing investors Prime Venture Partners and MegaDelta have also participated in this round. Debt capital has been secured from leading players like Vivriti Capital, Credit Saison and others in the form of co-lending and credit lines. The company had previously raised a total of $12.3 million.
MoneyTap is India’s first app-based consumer credit line, giving customers access to credit on tap. The company has been on a phenomenal 4X growth trajectory in the last 12 months, and in 3+ years of operations has created a loan book of ₹1,000+ crore and achieved a disbursal run rate of ₹2,500 crores a year. MoneyTap also secured an NBFC license from the RBI in 2019.
The company will use the funds to accelerate its growth trajectory, invest further in technology, data science, and launch its NBFC operations. There are plans to significantly expand its geographical footprint from 60 to 200 Indian cities, bringing its unique credit line value proposition to the masses.
Commenting on the occasion, Anuj Kacker, Co-founder of MoneyTap said “This latest development reaffirms MoneyTap’s leadership position in the fintech sector and the trust it has gained over the years from customers, capital partners and investors. Our mission has been to provide credit to the growing middle-income groups, in the most flexible, convenient and affordable manner, with money being available to the customer on Tap. We will use this funding to scale our business, innovate with data-backed lending models and continue to hire aggressively. We will also use the funds to expand our credit offerings via our own NBFC.”
Alongside, Max Chee – Head of Aquiline Technology Growth said “The ever-increasing digitization of India’s economy and financial services industry has created compelling opportunities, particularly for India’s emerging fintech companies. MoneyTap’s unique line of credit products addresses the significant need for consumer credit that is seamlessly distributed to end-users. We believe they are the leaders in the industry in terms of volume growth and managing risk at scale. We look forward to working with them to expand their mission and vision.”
Adding, Kirill Kozhevnikov – Partner at RTP Global said “MoneyTap is building capabilities to tap into the present and future needs of the customers faster than other fintech startups. The co-founders have a clear vision to transform the consumer lending industry and serve the needs of this huge credit market. We are happy to be part of this journey.”
Abheek Anand, Managing Director, Sequoia Capital (India) Singapore also said “We are thrilled to see MoneyTap’s recent performance and their laser focus on solving a clear customer pain point. They have successfully balanced growth, profitability and book quality – three of the most important indicators of an enduring fintech business.”
MoneyTap was commercially launched in September 2016 as India’s first app-based consumer credit line by serial entrepreneurs Bala Parthasarathy, Anuj Kacker and Kunal Varma.
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