Indian fintech giant Cred is to move into the wealth management market with the acquisition of mutual fund and stock investment platform Kuvera.
Originally launched as a credit card bill payment app, Cred has aggressively expanded into new markets, raising its valuation to $6.4 billion.
Kuvera currently manages assets of over $1.4 billion for its 300,000 strong user base. The company has raised approximately $10 million in funding since launch, last securing $4.5 million in April 2019 from Fidelity International's Eight Roads Ventures.
Kuvera will continue to operate as a standalone app following the acquisition, says Cred founder Kunal Shah.
“Kuvera is extremely popular among financially savvy Indians; their products and vision are aligned with Cred’s principle of investing for long-term value creation rather than short-term entertainment," he says. "Look forward to working and sharing learnings with the Kuvera team in our mutual intent to enable financial progress.”
Financial terms of the transaction have not been disclosd.
The acqusition of Kuvera is not the company's first foray into the wealth management space. In June last year, Cred acquired micro-saving app Spenny, which rounds off users' spare change from online transactions and invests in digital gold and mutual funds.