India’s largest consumer lending fintech, EarlySalary, has closed its series D funding round of $110 million led by TPG’s The Rise Fund and Norwest Venture Partners. Existing investor Piramal Capital and Housing Finance Limited also participated in the round.
This is EarlySalary’s largest fund raise to date, following the company’s last financing round in 2019.
The company had raised $34 million in previous rounds from Eight Roads, Chiratae Ventures, Piramal Capital and Housing Finance Limited and angel investors. The latest investment will enable EarlySalary to grow its business significantly in the next 24 months. The series D round of $110 million includes a secondary sale. Unitus Capital acted as the exclusive advisor for the transaction.
EarlySalary is India’s leading consumer lending app focused on young, aspirational and tech-savvy Indian consumers. Founded in Pune in 2015, EarlySalary provides accessible financial lending solutions of up to ₹5 lakhs to working professionals. The company expanded into the affordability segment and introduced Buy Now Pay Later (BNPL) services to its customer segment with a clear focus on education, health and consumer product financing. Over the course of its journey, EarlySalary expanded its services to over 150 cities and aims to continue growing its customer base.
EarlySalary’s comprehensive suite of products includes personal loans payable in EMIs over multiple tenures. The company will continue to expand its BNPL segment and build out an extensive network of partners across the healthcare and edtech segments.
The company has rapidly expanded its presence from 18 cities to over 150 cities and increased its customer base to 12 million app downloads with approximately 1 million customers.
Innovation and growth
Akshay Mehrotra, co-founder and CEO said, “The funding will not only help us in expanding our cash business but also build an array of capabilities to efficiently serve a larger segment of customers. We are confident in our ability to keep innovating and achieving 10x large growth in our customer base.”
Ashish Goyal, co-Founder and CFO said, “EarlySalary’s purpose is to enable financial services access to its core segments. This capital raise enables us to grow and meet our customer aspirations. We believe that we will be able to add significant value to the fintech ecosystem.”
Akshay Tanna, Partner at TPG said, “EarlySalary is improving the financial health of its customer base and empowering them to finance things like upskilling courses, healthcare needs, personal emergencies, and short-term cash flow mismatches.”
Niren Shah, MD at Norwest Venture Partners said, “Digital lending is emerging as one of the fastest growing fintech segments in India, and we believe that EarlySalary is well-positioned to serve the credit needs of millions of underserved but aspirational Indians. EarlySalary’s strong growth has been driven by a world-class technology, analytics and governance platform, which has resulted in exceptional credit underwriting and asset quality.”