Slice is an online consumer lending and payment platform offering fintech startup that has secured 8.6 million USD in its fresh funding round. The CEO and founder of Slice, Rajan Bajaj led the funding round via partly paid-up shares with the participation of other investors. The investment will be completed after one more tranche. The company plans to use these fresh proceeds to scale its operations, enhance its platform, and general business purposes.
The board has approved a special resolution to allot 22,000 equity shares at an issue price of Rs 32,606 each to raise Rs 71.7 crore. Entrackr reported the development first. According to the company filing, the startup will use these fresh proceeds for working capital and business purposes. The company provides customers with a personal line of credit and enables users to avail themselves of cash loans and repay them in installments.
The startup provides a financial services platform with an app-based virtual credit card for online transactions. This investment came just after the company raised Rs 300 crore from the Anju Family trust, the Taneja family trust, the MN family trust, and the UK2 Family trust. The company has raised around $400 million across multiple funding rounds since its inception, including a $7.77 million investment from Neo Asset Management during its conventional debt funding round.
The startup data intelligence platform, thekredible mentioned that after this round, the existing investor Tiger Global remains the largest stakeholder followed by Insight partners. Slice provides credit scores and virtual credit cards for online transactions. Slice offers a Buy Now Pay Later platform to offer prepaid payment services with no annual fees and zero interest rates. The startup faces competition from other fintech startups in this market segment such as OneCard and Uni cards.
Slice reported a three-time increase in its growth in FY23 with a revenue of Rs 847 crore in FY23. The net loss also saw a 59.8 percent increase to Rs 406 crore in the same duration. The overall expenditure increased as the employee benefits and NPAs saw a three-times increase.
The development came just after the fintech sector saw increased investor interest. The fintech firm also got approval from the Competition Commission of India to merge with Guwahati-based North East Small Finance. Slice acquired the North East Small Finance Bank’s 5 percent stake for 3.42 million USD.
Conclusion :
Slice is a Bengaluru-based consumer lending startup offering an online personal line of credits for consumers for faster and more secure investments. The startup got fresh capital of Rs 71.7 crore from the founder and CEO of Slice, Rajan Bajaj. The investment is expected to be completed in one or two tranches through partly paid-up shares. The development came just after the startup secured Rs 300 crore from several family trusts through convertible debentures.
The board allotted 22k equity shares for Rs 32, 606 per share. The company plans to use this amount to enhance its platform, improve its performing capability, and for general business purposes. After this round, the existing investor Tiger Global remained the largest external stakeholder of the firm.
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