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Bengaluru: Peer-to-peer lending platform, LenDenClub, has raised $10 million in a Series A round co-led by a consortium of investors including Tuscan Ventures, Ohm Stock Brokers, and Artha Venture Fund, the company said on Tuesday.
Other participating investors included Cred founder Kunal Shah; PolicyBazaar co-founder Alok Bansal; Livspace founder Ramakant Sharma and Indian cricketer, Hardik Pandya, among others.
Post the funding round, LenDenClub is now valued at more than $51 million.
The company plans to utilise the proceeds from the current fundraise to invest heavily in innovating and upgrading its proprietary tech-stack platform, while enhancing its leadership strength through senior hires.
It is also planning to increase its operational team size and ramp up hiring across tech, product and marketing functions, by the end of the next fiscal.
Seven-year-old LenDenClub leverages technology to bring borrowers and investors on the same platform – providing instant loans to borrowers and offering new-age investment options to investors across the country.
“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," said Bhavin Patel, co-founder and chief executive officer (CEO), LenDenClub.
The company claims to have already disbursed more than ₹1200 crore worth of loans in this fiscal alone. 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 fiscal year 2022-2023, it said.
LenDenClub currently has 1 million investors and processes over 2.5 lakhs loan applications every month.
“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 over 35,000 loans. We are eager to see where this round of investment takes LenDenClub and the path that it charts for itself," said Anirudh A Damani, managing partner, Artha Venture Fund.
