LenDenClub raises $10m in Series-A funding

By Leandra Monteiro

LenDenClub, one of India’s leading peer-to-peer (P2P) lending platforms, announced that it has raised $10 million in a Series A round co-led from a consortium of investors inclusive of – Tuscan Ventures, Ohm Stock Brokers, Artha Venture Fund, Kunal Shah (Founder, CRED), Alok Bansal (Co-founder, Policybazaar), Ramakant Sharma (Co-founder, Livspace), Hardik Pandya (Indian Cricketer), Krishna Bhupal (Co-founder of Promaxo and Board member of GVK Power & Infra).

With the current round of funding, LenDenClub valued more than US $51 million, now aims to scale up substantially, eyeing a 5X growth in disbursals in the next 18 months. The fresh capital will be used in aggressive expansion, taking its loan book growth to $1 billion and upscaling the user-base to 10 million from the current 2.5 million by FY 2022-23.

The company aims to invest heavily in innovating and upgrading its proprietary tech-stack platform to aid and upkeep the growth in its customer base whilst supporting all kinds of banking operations conducted on its platform. Additionally, the company aims to enhance its leadership strength and is eyeing strategic C-suite appointments in pursuit of its expansion goals, besides increasing the operational team size by the end of the next fiscal.

Speaking on occasion, Bhavin Patel, Co-founder & CEO, LenDenClub said, “At LenDenClub we have always emphasised on leveraging technology creatively while adapting to an ever-evolving financial services marketplace. We have been constantly inventing products that yield greater returns for our investors and democratising credit while offering market competitive rates for our borrowers. Futuristic, customer centric-products and seamless digital experience offered by our platform backed by a focused market expansion approach, is what has aided the exponential growth of LenDenClub. We are privileged and delighted to bring on-board immensely diverse investors in this round and use their expertise to fuel further growth at LenDenClub. The aim is to accelerate growth while maintaining profitability on operations.”

Anirudh A Damani, Managing Partner, Artha Venture Fund said, “We are thrilled to see such a rich trove of investors backing a startup that we have seen grow from 1 to 2 loans a month, to doing 35,000+ loans. We are eager to see where this round of investment takes LenDenClub and the path that it charts for itself.”