Copyright indiatimes
Mumbai-based fintech startup Snapmint has raised $125 million in a fresh round of funding from US-based private equity major General Atlantic. Elev8 Venture Partners and existing investors Prudent Investment Managers, Kae Capital invested in the round as well.Founded in 2017, by IIT-Bombay batchmates Nalin Agrawal, Abhineet Sawa and Anil Gelra, Snapmint has raised $140 million since inception. Speaking with ET, Agrawal said that the company plans to use 50% of the funds raised to capitalise the in-house NBFC and the remaining to scale up business operations. While $115 million is in the form of primary capital, the remaining is secondary infusion where the company's angel investors and its employees have sold shares. "We will invest in integrating with more brands and large merchants, expand our customer base and also scale up credit-on-UPI in a profitable manner," Agrawal said.The startup offers consumers the chance to convert their online purchases into EMIs. While staying away from the typical buy-now-pay-later products, Snapmint focuses on longer duration loans with a mix of zero cost and interest-bearing EMI products."We work with around 1,500 brands including the likes of Titan, Ixigo, Wakefit and others, we offer a pure-play EMI option like a consumer durable loan which gets reported to the credit bureaus," Agrawal said. The loans are processed via Snapmint's own captive NBFC. It processes around 1.5 million EMI transactions every month.Unlike many of the more popular consumer financing startups, Snapmint works with brands and not with the large ecommerce platforms. For customers buying on the website of the brand directly, Snapmint pops up as an EMI payment option. Around 25% of its overall customer base is new-to-credit, which means they have no credit history and will need to be underwritten through non-traditional means. Agrawal said that the company has reported ₹150 crore in revenue in FY25 and is targeting to double it this year. Its profit after taxes but before Esop costs stood at ₹10 crore.
