Ribbit Capital to co-lead $101 mn funding round in fintech startup Cred

DreamPlug Technologies, the Mumbai-based fintech startup the runs rewards-based credit card payments app Cred, is raising $101 million in a funding round led by existing investor Ribbit Capital and Cayman Islands based Gemini Investments. The two investors committed $20 million each to the round, according to the company’s latest regulatory filings.

Sequoia Capital India, an existing investor, is also participating in the round with a commitment of $16.25 million. New York headquartered hedge fund Tiger Global Management and Chinese investment firm Hillhouse Capital will invest $14.34 million each.

Other investors in the round include San Francisco-based investment firm Greenoaks Capital, Russian billionaire Leonid Boguslavsky’s investment firm RTP Global Investments (earlier known as Ru-net), DF International Private Partners and Anaxa Holding Pte, according to the filings. 

By TechCircle’s estimates, Cred is expected to raise the current round at a valuation of anywhere between $370-$400 million.

Email queries to Cred did not elicit a response at the time of publishing this report.

According to prior filings from last month, Cred had raised $3.82 million from Sequoia. However, it could not be immediately ascertained whether the investment was part of the $16.25 million being invested in the current round.

The development comes even as recent media reports said that Cred was on track to raise a $120 million round.

In January this year, the company had aised $2.43 million from a host of investors including Alibaba founder Jack Ma’s Ganesh Ventures, US-based hedge fund Valiant Capital and Rainmatter Capital. The  company is also backed by individual investors such as Swiggy co-founder Sriharsha Majety, former Payu India CEO Amrish Rau, Citrus Pay co-founder Jitendra Gupta and Curefit co-founder Mukesh Bansal, among others.

The company grabbed headlines last June when an Economic Times report said that it had raised $30 million even before it commenced operations from Sequoia , Ribbit and Ru-net, a Russian financial-technology focused fund. 

Founded by former Freecharge founder Kunal Shah last year, Cred is a members-only app that lets users pay credit card bills and rewards them in the form of credit coins, which can be redeemed across partner businesses including CureFit, Ixigo, BookMyShow and FreshMenu. This also gives the app an insight into customer spends, which can be used for cross-selling and up-selling products. Cred is also likely to launch an insurance product in the future.