Fintech company Kissht has raised $80 million in fresh funding round from Vertex Growth and Brunei Investment Agency.
The round also saw participation from existing investors Vertex Ventures SEA India and Endiya Partners.
The fintech firm plans to use the funds to enhance its product design, increase card issuance to 10 million over the next 12-18 months and increase its book size while improving its technology backend.
The firm said it will enter the Challenger card segment, where it will issue its buy-now-pay-later cards called Ring in association with RBL and SBM Bank to customers connected to the credit line. It will issue these cards through its non-banking finance company (NBFC) branch.
In the Challenger card segment, there is heavy competition from companies such as Jupiter, Uni, Slice and OneCard among others.
Over the past few months, RBI has been consulting with players and the wider industry to understand the operations of new-age card-based credit fintech firms and regulate the space.
The Mumbai-based Kissht was founded in 2015 by Krishnan Vishwanathan and Ranvir Singh, It currently offers a line of credit to consumers as well as unsecured personal loans.
It has about 3.2 million users on its platform, of whom more than 50% are monthly active.
It also distributes health-related insurance and counts Aditya Birla Health Insurance as a partner.
On an average, the firm disburses loans worth Rs 580 crore every month with an average size of Rs 13,500 and an active loan book of Rs 900 crore.
“We have been strongly focussed on credit, and thought payments were a natural extension to our offerings. The idea behind launching a card was so that customers can use the credit in a seamless manner for all services, products and even small ticket offline transactions such as groceries”, said, Ranvir Singh, founder and CEO of Kissht.
“This helps customers SALE use the credit for recurring transactions and improves engagement, rather than a one-time personal loan which is very episodic”, he added.
Singh said the company is also focusing on acquiring users through offline channels by embedding its credit offerings at the point of sale in mid scale department stores.
“The founders of Kissht have a unique understanding of the needs of the new-to-credit population of India. The multiservice credit and payments offering will revolutionise the way millennials and other new borrowers use and think about credit,” said, James Lee, managing partner of Vertex Growth.
According to the fintech firm, the total consolidated revenue in FY 2021-22 stood at Rs 410 crore, and profit was Rs 55 crore.
Kissht is a financial technology platform that enables instant, seamless credit for consumers to make purchases at digital points of sale (online and offline). Its plug and play gateway APIs can be easily integrated into any merchant checkout page or retail POS for providing access to quick loan.
Established in 2015, Kissht is a generation next financial technology company that strategically helps individuals to enhance their borrowing capacities. They offer state of the art solutions that are truly user centric and are upscale, giving valuable experience to their customers. Using their digital excellence and experience, they’ve embedded deep Machine Learning and Artificial Intelligence in their patented propriety algorithm. They use tools like advanced analytics and behavioral data to evaluate an individual’s credit worthiness, calculate credit score and offer pre approved loans to the thin filed customers in matter of minutes.
Today they have networked with 3000+ offline merchants and 50+ online stores in about 40 cities PAN India.