Kamath brothers invest Rs 250 crore in IPO-bound financial services firm InCred

Zerodha Founders Invest Rs 250 Crore in InCred Ahead of IPO.

Expert Analysis :

• Kamath Brothers’ Investment: Zerodha founders Nikhil and Nithin Kamath acquired a minority stake in InCred Holdings Limited through a Rs 250-crore share purchas..

• IPO Plans: InCred plans to raise Rs 4,000–Rs 5,000 crore through an IPO at a projected valuation of Rs 15,000–Rs 22,500 crore.

• Investor Confidence: Nikhil Kamath stated that India’s credit ecosystem is becoming more formal, digital, and accessible, and praised InCred’s strong team, tech-first approach, and market vision—highlighting the investment as a bet on scalable, responsible lending.

• Retail Broking Expansion: A week earlier, InCred Money, the Group’s retail wealthtech arm, acquired South Asian Stocks Limited (SASL), marking its entry into the retail broking space through Stocko.

• Platform Rebranding: Stocko will be rebranded as InCred Stocko and integrated into InCred Money’s digital investment suite after deal clearance.

• Business Overview & Financials: Founded in 2016 by Bhupinder Singh, InCred Group operates across three verticals and reported a 48% revenue growth to Rs 1,267 crore with a PAT of Rs 316 crore.

• Unicorn Status & Funding: InCred’s NBFC arm became a unicorn in 2023 after raising $60 million from Ranjan Pai, Ravi Pillai, and Ram Nayak.

• Business Expansion: It acquired TruCap Finance’s gold loan business via slump sale to enter the gold loan market.

• Upcoming IPO Plans: InCred aims to raise Rs 4,000–Rs 5,000 crore through an IPO, targeting a valuation of Rs 15,000–Rs 22,500 crore.