Fintech unicorn CRED plans to acquire Happay, a corporate expense management company.
The acquisition is expected to be a cash-and-stock deal, potentially valuing Happay at about $180 million. While Happay will operate as a separate entity, the team will work closely with CRED to expand the product offering and drive scale. Happay’s 230-member team will get all the benefits extended to CRED team members, including the ESOP programme.
Happay is a business expense, payments and travel management platform serving over 6,000 businesses. It manages work-related expenses for over one million users globally, with about $1 billion in annual spends. Its customers include TATA group, PwC, Maruti, OYO, Byju’s and Udaan, among others.
Kunal Shah, founder, CRED, said, “Turning the pain of credit card management into a delight has enabled CRED to grow rapidly over the past three years. With professional expenses forming a significant portion of credit card spends, bringing professional expense management into the CRED ecosystem is a natural extension of our proposition. Happay’s product strength, customer experience, and vision align with our intent at CRED to reward responsible financial behaviour and we’re excited to partner them in their journey towards leading the category.”
Anshul Rai, co-founder and CEO, Happay, said, “We’ve invested in building a category-defining product at Happay with thousands of customers who love the experience. The next phase of our growth will come from building scale, brand, and distribution.”