Fullerton Financial Holdings infuse Rs 252 cr in Lendingkart; to take controlling stake
MSME-focused lending platform, Lendingkart on Friday said Fullerton Financial Holdings (FFH), which is a wholly owned subsidiary of Singapore’s Temasek, will acquire a controlling stake in the company amid its financial trouble
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Bengaluru, 18 October: MSME-focused lending platform, Lendingkart on Friday said Fullerton Financial Holdings (FFH), which is a wholly owned subsidiary of Singapore’s Temasek, will acquire a controlling stake in the company amid its financial trouble.
The Temasek-owned Fullerton Financial Holdings (FFH), which is an existing investor in the lending platform, will infuse Rs 252 crore in Lendingkart as part of the stake acquisition.
However, the company didn’t disclose how much stake Fullerton will hold post this capital infusion.
Reportedly, FFH held around 38.16 per cent of Lendingkart Technologies Private Limited (LTPL), that owns 100 per cent of Lendingkart Finance Limited (LFL).
The Ahmedabad-based Lendingkart said the capital infusion from FFH will enable it to deepen its reach in underserved markets and enhance its technology to cater to the financial needs of small businesses.
"We are excited to further deepen our partnership with FFH in what will truly be a transformative phase of our journey. This investment represents a vote of confidence in Lendingkart's ability to transform the MSME lending landscape. Our goal is to replicate FFH’s past successes in the Indian financial market," Founder and Managing Director of Lendingkart, Harshvardhan Lunia said.
“Our investment in Lendingkart is a testament to our continued belief in the MSME opportunity in India and that well-governed, scalable franchises can bring significant value to small businesses,” said Hong Ping Yeo, Chief Executive Officer of FFH.
Lendingkart was founded in 2014 by Harshvardhan Lunia and offers working capital and business loans to merchants through its in-house NBFC and co-lending partnerships with other banks and NBFCs.
The platform provides unsecured loans to customers in tier 1, 2, and 3 cities, with an average loan size of around Rs 7 lakh. The company has so far raised around Rs 1,050 crore from investors, including Bertelsmann, Mayfield India, Saama Capital, Sistema Asia, and India Quotient.
