Financial technology startup IndiaLends has raised $1 million in bridge round from its existing investors including DSG Consumer Partners and other angel investors. In a separate development, iStreet Network’s shareholders have dissented to the postal ballot resolution for the transfer of internet retailing business ‘iStreet Bazaar’ to its wholly-owned subsidiary iStreet Bazaar Pvt Ltd.
IndiaLends secures $1m funding from DSG Consumer Partners, others
Delhi-based credit underwriting and analytics platform IndiaLends has secured $1 million (about Rs 6.5 crore) in bridge round from existing investors DSG Consumer Partners, Siddharth Parekh, Gautham Radhakrishnan and other angel investors.
This is the firm’s second funding round in last eight weeks.
The funds will be used by IndiaLends to further enhance its technology platform, expand employee base, expand operations to other cities and add to its existing product portfolio. The venture currently operates in Delhi, Mumbai and Pune.
“Our vision is to get rid of the unorganized lending sector in the country and bring more and more people into the fold of formal channels of credit, using better underwriting techniques and technology,” said Mayank Kachhwaha, co-founder of IndiaLends.
“Through the use of technology, we have been able to facilitate higher approval rates, instantaneous decisions, quick disbursals and have seen a doubling of volumes on a monthly basis,” he added
Founded earlier this year by IIT Madras graduate Mayank Kachhwaha and Gaurav Chopra, an alumnus of St. Stephen’s College, the London School of Economics and the London Business School, IndiaLends processes over 9,000 loan requests on a monthly basis and offers loan between Rs 50,000 to Rs 15 lakh to its customers.
IndiaLends uses proprietary algorithms to evaluate a borrower’s creditworthiness and offers them instant credit products. It has underwritten about 8,000 applications and disbursed about Rs 3 crore in loans so far.
iStreet shareholders disapprove transfer of internet retailing biz to its subsidiary
iStreet Network Ltd’s shareholders have dissented to the postal ballot resolution for the transfer of ‘iStreet Bazaar – Internet Retail Store’ project to its wholly-owned subsidiary iStreet Bazaar Pvt Ltd.
The board of directors of the company had proposed transfer of iStreet Bazaar project to its wholly-owned subsidiary, iStreet Bazaar Pvt Ltd through postal ballot notice dates 17 August 2015 with a view to explore avenues of private equity participation like venture funds, the company said in BSE filing on Monday.
As per the scrutinizer report dated 1 October 2015, 99.83 per cent of the total votes were against the resolution, the statement said.
“We understand shareholders’ sentiments and we truly believe that the decision taken by the shareholders shall be followed in the same spirit and sentiment,” Pradeep Malu, managing director of iStreetNetwork said.
“We would like to assure to all our members that the company’s unique project of internet retailing ‘iStreet Bazaar’ shall continue to grow and expand in the company (parent) itself without transferring it to its subsidiary. It’s a huge multi-billion dollar project and needs large money to grow to that level in the next three years. We are taking steps to raise required funds for expanding the project,” he added.