Last-mile FinTech lender Progcap has closed a $ 30 million Series C funding round led by existing investor Tiger Global Management and new backer Creation Investments, with additional participation from Sequoia Capital India, according to a press release issued Monday, October 4.
The India-based FinTech startup offers financing opportunities to small and medium-sized enterprises (SMEs), which make up the majority of the Indian economy. Progcap extends last mile capital through FinTech products that automate the movement of finance throughout the supply chain.
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Progcap plans to use the new capital injection to expand its supply chain banking platform to help its merchants and business network in India. The company aims to shell out $ 1 billion by next March.
Alex Cook, partner of Tiger Global, said the company has doubled its investment in Progcap because it believes the startup has what it takes to continue to grow its FinTech platform to attract more traders.
Based in New Delhi and founded in 2017 by Pallavi Shrivastava, Progcap has recruited top talent to help advance its business expansion, including former McKinsey & Company partner Abhinav Singh, who now serves as Director of growth, and Ashish Gupta, former chief technology officer for policy. Bazaar and now in charge of technical and product functions for Progcap.
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The company said it has been able to close the credit gap in India by leveraging technology for quick and easy supply chain assessments for credit scoring. The approach is personalized so that each company gets a solution that suits them best. Progcap also provides businesses with many additional technology solutions to increase profits and manage cash flow.
Since its launch, Progcap has granted more than $ 300 million in last mile credit. Its platform is used by more than 60 businesses and 450,000 retailers, and its monthly payout volume has grown 400% in the past 12 months.