Zerodha co-founders Nithin and Nikhil Kamath have made a strategic investment of ₹250 crore in InCred Holdings, the parent entity of InCred Financial Services (IFSL). This minority stake acquisition comes at a critical inflection point, as InCred prepares for its highly anticipated IPO.
Key Highlights
- Strategic Timing
- The investment comes just months ahead of InCred’s planned IPO, which is expected to raise ₹4,000–5,000 crore, pegging the company’s valuation between $1.8 billion and $2.5 billion.
- Investor Perspective
- Nikhil Kamath, co-founder of Zerodha and True Beacon, stated:
“India’s credit ecosystem is changing fast—more formal, more digital, and more accessible. InCred seems to get that. They’ve built a strong team, a technology-first approach, and a clear view of where the market is headed.”
- Nikhil Kamath, co-founder of Zerodha and True Beacon, stated:
- About InCred Group
- Founded by Bhupinder Singh, InCred is a tech-first non-banking financial company (NBFC) focused on:
- Consumer lending
- SME (Small and Medium Enterprise) lending
- Education loans
- Founded by Bhupinder Singh, InCred is a tech-first non-banking financial company (NBFC) focused on:
- Data & Technology-Driven Model
- The group leverages proprietary risk analytics, data science, and digital-first operations to deliver responsible credit to retail and MSME borrowers across India.
- Group Entities
- InCred Finance: Core lending arm; raised over $370 million, including $60 million in its Series D, entering the unicorn club.
- InCred Capital: Handles wealth and asset management, M&A advisory, equity research, broking, and capital markets; raised $50 million, primarily from family offices.
- InCred Money: Focused on digital wealth-tech solutions for retail investors.
Why This Matters
- Kamaths’ Endorsement: Backing from seasoned fintech entrepreneurs like Nithin and Nikhil Kamath strengthens InCred’s credibility in the run-up to its IPO.
- Sectoral Confidence: The move also reflects a broader confidence in India’s formal and digital credit ecosystem, especially as NBFCs embrace tech-enabled lending models.
- IPO Readiness: With a solid funding base, growing business verticals, and a tech-driven foundation, InCred appears well-positioned for its next phase of growth as a public entity.
