Credenc has claimed that the strategic acquisition will help it enable more education loans across diverse verticals
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NEW DELHI :
Education loan startup Credenc on Tuesday announced the acquisition of digital content platform ObserveNow for an undisclosed amount, and claimed that the “strategic acquisition will help Credenc enable more education loans across diverse verticals".
“Credenc, which is a Capital India company, through this deal will further solidify relationships across all verticals…by consolidating ObserveNow’s extensive media network, brand partners and marketing experts. The association with ObserveNow will help in creating new business avenues for Credenc by reaching out to colleges and students across India," the education loan firm said.
Credenc is a Delhi-based technology-led education loans platform set up in 2017 and currently works with about 1,000 colleges across 17 cities. Capital India, a company that offers finance to SME and retail customers had infused $25 million in Credenc in July.
Founded in 2019, ObserveNow has content presence and reach in several verticals, including human resource, education, healthcare, startups, and technology.
Mayank Batheja, co-founder of Credenc, said ObserveNow’s connection within the “industry is of high value" to them and both will try to serve students and working professionals across India.
Credenc undertakes a rigorous evaluation process using a proprietary artificial intelligence (AI) model, “which tracks 15 million data points to predict the future income of students applying for loans". Lending is based on students’ potential and future income, instead of the existing financial capability of the family, which is typically the primary factor considered by traditional education lenders, it has said in July.