Faircent, Gurugram-based peer-to-peer online lending startup has announced that it has secured around ₹25.5 crore ($4 million) in its Series B funding round.
The investment comes from Incofin Investment Management, with participation from the company’s existing investors, including JM Financial, 3one4 Capital, M&S Partners Pte Ltd and Aarin Capital.
Along with them, the funding round also saw participation from Muthoot Fincorp, Elevate Innovation Partners, Das Capital and Starharbor Asia Pte Ltd.
The newly infused capital will be used by the startup to strengthening its technology as well as to create greater awareness about P2P lending significance as a new and highly rewarding asset class.
Commenting on the investment, Rajat Gandhi, Founder and CEO, Faircent, said,
These are exciting times for P2P lending in India, and Faircent is here to unleash the power of retail lending. As India’s largest platform, being backed by marquee investors, and the fact that the RBI has come out with progressive guidelines for the sector is a great validation of Faircent’s business model. Moreover, with P2P lending, the financial market is all set to witness the creation of a totally new asset class.
Faircent, founded by Rajat Gandhi and Vinay Mathews in 2014, was a part of the Microsoft Accelerator Winter Cohort and BizSpark programme. The startup provides a platform where people who have spare money can lend it directly to people who want to borrow, eliminating intermediaries and the margins they used to make.