Slice is a personal line of credit for a customer-providing platform that has secured $36 million in its fresh funding round. Taneja Family Trust led the funding round with UK2 Family Trust, Anju Family Personal Trust, Blume Ventures, and 8i Ventures. MN Family, UK2 Family Trust, and Taneja Family Trust led the round with Rs 30 crore followed by Blume Ventures with Rs 27 crore and the rest of the Rs 25 crore came from 8i ventures.
The board has approved a resolution to allot 30,000 compulsory convertible debentures at an issue price of Rs 100,000 each to raise $36 million. According to the company filing, the startup will use these fresh proceeds for working capital purposes and market expansion. The company provides a Buy Now Pay Later platform to offer prepaid payment services with no annual fees and zero interest rates. The startup provides a financial services platform that uses various technologies to offer its customers an app-based virtual credit card for online transactions. This investment shows investor’s trust in Slice’s market potential and business model.
The company has secured around $400 million across multiple funding rounds since its inception, including $200 million raised from Insight Partners and Tiger Global during its series B funding round. After this round, the existing investor Tiger Global holds the largest external stake with 7.9 percent followed by Insight partners with 6.6 percent. Slice provides credit scores and allows working professionals or students to buy collateral-free services online on EMIs through its app. The startup faces competition from other fintech startups in this sector such as ACE, Bettr, and VCard.
Slice reported a three-time increase in its growth to Rs 847 crore in FY23. The net loss also increased by 59.8 percent to Rs 406 crore in the same duration. The total expenditure increased due to a three-times increase in employee benefits and NPAs. The fintech firm got approval from the Competition Commission of India to merge with Guwahati-based NorthEast Small Finance.
The company got approval from the National Company Law Tribunal for the merging and banking license. Slice acquired 5 percent of the North East Small Finance Bank’s stake for 3.42 million USD. The startup aims to make a smart, innovative, fast, and transparent platform with a new-generation experience.
Conclusion :
Slice is a Bengaluru-based fintech startup offering an online personal line of credits for consumers to provide them with faster and more secure investments. The startup got fresh capital of $36 million from the Taneja Family Trust, UK2 Family Trust, Anju Family Personal Trust, and MN Family Trust. The funding round had participation from other investors including Blume Ventures, 8i Ventures, Mintcap Enterprises, and others.
The company plans to use this amount to scale up its operations, enhance its platform, improve its performing capability, and expand to the global market. After this round, the existing investor Tiger Global holds the largest external stake with 7.9 percent. The startup uses various technologies to offer its customers innovative credit solutions.
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