New Delhi, June 22 -- Meta Platforms Inc., the parent of Facebook, Instagram and WhatsApp, is investing $900 million (about Rs 8,500 crore) in CRED in primary and secondary capital, the Indian fintech startup's founder Kunal Shah said Monday.
The US company is investing in CRED at a post-money valuation of $4.5 billion. This effectively gives Meta a 20% stake in the Indian company.
Meta has also named Shah as WhatsApp's new global leader, the messaging app's current head Will Cathcart tweeted on X. Cathcart also said he will step down as WhatsApp's CEO after a seven-year stint.
Cred was set up in 2018. Over the years, it has transformed from a credit-card bill payment platform to a fintech company with diverse offerings across lending, utility bill payments, insurance and commerce.
In 2022, it raised $140 million in a Series F round led by Singapore sovereign wealth fund GIC and existing investors at a $6.4 billion valuation. Previously, it closed a $251 million round in 2021 at a valuation of $4 billion, when Tiger Global and Falcon Edge joined its cap table.
Last year, Bengaluru-based Cred secured Rs 455 crore ($53.2 million) in fresh funding from its existing investors including GIC, early-stage venture capital firm RTP Global and Belgium-based investor Sofina. The Series G round valued it around $3.5-3.6 billion.
Published by HT Digital Content Services with permission from VC Circle.