Digital-fist mortgage platform LoanKuber today said it has raised Rs 13 crore (about $1.7 million) in a pre-Series A funding round led by LetsVenture and Inflection Point Ventures, a Gurugram-based angel investment platform. The round was also participated by other investors.
Prior to this, LoanKuber had raised $1.25 million as part of its pre-Series A round in August 2021, led by LetsVenture, Accolade Partners, and AngelList India.
Founded in 2017 by IIT Delhi alumni Mr. Saurabh Nagpal, LoanKuber is a digital-first automated mortgage platform enabling mortgage lending Micro-SMEs against owned residential collateral.
The platform enables LoanKuber to lend with larger financial institutions, allowing them to be the lowest cost mortgage lender by having diversified and lowest cost of capital compared to regional MSME Lenders.
With this round of funding, The New Delhi-based startup will focus on building and expanding the team, enhancing the existing tech stack, and rapidly growing its loan book to Rs 75 crore in the next 12 months. Additionally, It also aims to onboard 1000 MSMEs in the next 12 months as part of its expansion plan.
The firm claims to have an experienced management team with combined 60 years of experience in mortgage lending in NCR and is currently operational in 10 cities across NCR (Delhi, Gurgaon, Noida, Faridabad, Pilkhuwa, Hapur, Sonipat, Muradnagar, Baghpat, and Modinagar).
“IPV Investor community has CXO’s with vast experience in financial services and technology making them the ideal partners in our strategic vision of building transformative mortgage platform for the MSMEs," Saurabh Nagpal, Founder, LoanKuber, said.
Saurabh Nagpal, who graduate from IIT Delhi and New York University, has 15 years of experience across Computational Finance/ mortgage lending / high yield credit in US and Indian Markets. He started his career in Emerging Market Mortgages in New York and has led more than $1 billion in financing transactions across residential and commercial mortgages.
Speaking on the investment, Mitesh Shah, Co-Founder, Inflection Point Ventures, said:
“LoanKuber is solving a big problem of lending in India. We know that banks are not designed to lend to a majority of the population who often fall in the trap of shady loan apps or sharks who levy high-interest rates and indulge in unethical practices."
"By digitizing the entire lending process, they have the ability to bring a large no. of loan seekers into a formal credit system and help them build a credit history. We believe MSME lending is still an untapped market and LoanKuber has built the right tech stack to roll out their services for this segment," he adds.
Following the current deal, IPV so far has invested over Rs 316 crore across 106 startups/companies. Apart from this, This is IPV's 44th deal for 2021; and is on track to invest Rs 155 crore across 60+ startups.