Money & Banking

CRED targets ₹100-crore ESOP buyback this year

Our Bureau | | | Updated on: Nov 09, 2021
image caption

Fintech unicorn seeks to generate additional revenue stream for its team members

Fintech unicorn CRED has announced that the cumulative ESOP buyback under its ‘accelerated wealth programme’ will be upto ₹100 crore this year.

All the CRED team members who have vested options as of October 31, 2021, will be eligible to participate in the buyback event and sell a portion of their vested shares. CRED’s accelerated wealth programme was launched in August as an additional revenue stream for its team members.

At 87%, fintech adoption in India higher than global average: FM

“Our growth over the past three years has been possible because of the collective conviction and contribution of the team. Rewarding the commitment of our team members involves providing them ample opportunities to create wealth — helping them realise financial goals and invest in their future,” the company said in its latest newsletter.

Fintech SaaS start-up Clear raises $75 m in Series C funding from Kora, Stripe, others

Last month, CRED raised $251 million Series E funding from Tiger Global and Falcon Edge. There were two new investors, Marshall Wace and Steadfast, besides DST Global, Insight Partners, Coatue, Sofina, RTP, and Dragoneer. The funding round had valued the company at $4.01 billion.

Started in 2018, CRED rewards users points for making credit card payments. It has since added new offerings such as personal loans and rent payments as it attempts to become a full-stack financial service provider. The company also recently launched its peer-to-peer lending product, which allows CRED users to lend other users money at 9 per cent interest rate.

CRED noted in the newsletter that 40.07 per cent of CRED users/members had improved their credit scores in October by incorporating the suggested actions on the app, and members won ₹22 crore worth cashbacks.

Further, in September, CRED reported that electronic accessories (phone wallets, phone stands), audio products (earphones, neckbands and TWS earbuds) and smart home devices (smart home cameras and smart remotes) were the most ordered items on CRED Store. Nearly 1 in 5 transacting members are said to have picked electronic accessories or appliances, and coffee has seen the highest repeat purchase among members. Some of the popular brands on CRED Store include The Man Company, Bombay Shaving Company, Portronics, Smitch, Oakter, Yoga Bar, Wingreens and Raw Pressery, among others.

Published on November 09, 2021

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

COMMENTS
This article is closed for comments.
Please Email the Editor

You May Also Like

Recommended for you