In a significant funding development, InCred Finance, the lending arm of the fintech unicorn InCred Group, has secured INR 400 Cr (approximately $46.8 Mn) through debt financing. The funding round saw participation from marquee investors such as Morgan Stanley India Primary Dealer, Nippon Life India, and internal entities like InCred Capital and InCred Wealth. Additionally, the company raised INR 40 Cr in equity infusion from its parent company, InCred Group.
According to the Ministry of Corporate Affairs (MCA) filings accessed by Inc42, InCred Finance allotted 40,000 non-convertible debentures (NCDs) priced at INR 1 Lakh each to secure the debt funding. This move forms part of InCred’s larger goal, as the company already holds regulatory approval to raise debt up to INR 4,500 Cr, highlighting its strategic ambitions to scale lending operations aggressively.
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Morgan Stanley India Primary Dealer emerged as the lead investor in this round, contributing a substantial INR 300 Cr. Nippon Life India followed with an investment of INR 50 Cr. The remaining INR 50 Cr came from InCred Group’s other financial arms—InCred Capital and InCred Wealth—underscoring the internal confidence and alignment in the company’s future growth strategy.
This funding round arrives at a time when InCred Group is actively fortifying its capital structure. Just last month, InCred Holdings witnessed a strategic equity investment of INR 250 Cr from Zerodha founders Nikhil Kamath and Nithin Kamath. This follows a broader trend of increased investor interest in the Indian non-banking financial company (NBFC) and fintech sector, particularly in consumer lending and SME finance.
InCred Finance has been making waves in the lending space by leveraging technology-driven underwriting, risk assessment, and scalable distribution strategies. The fresh debt and equity capital will likely be channeled into expanding its loan book, enhancing technology infrastructure, and bolstering risk management frameworks.
The funding is expected to further strengthen InCred Finance’s position in the competitive Indian lending market. The company has shown consistent growth across verticals like personal loans, education loans, and SME lending—segments that are witnessing rising demand due to digital adoption and increased credit penetration in Tier II and III cities.
With the capital injection and strong investor backing, InCred is poised to accelerate its vision of becoming a leading digital-first lending institution in India. The group’s continued ability to attract both global and domestic investors reflects robust financials, disciplined risk practices, and scalable business models.
As India’s fintech sector continues to mature, InCred Finance’s recent funding move stands as a testament to the growing confidence among investors in sustainable NBFC models driven by innovation, strong governance, and customer-centricity.
