Fintech startup Progcap has secured a $30 million investment in a Series C financing round led by Tiger Global and Creation Investments. Existing investor Sequoia India has also participated in this financing round. The company will use the new investment to accelerate the creation of a comprehensive and in-depth supply chain banking platform for its merchants and corporate network in India.
Progcap claims it aims to reach distributions of $1 billion by March next year. Speaking on the financing round, the company’s co-founders Pallavi Srivastava and Himanshu Chandra said, “The new round of funding will help us allocate resources for our aspiration to become the largest digital bank for small retailers”.
He further added, “While we are becoming relevant to many large corporate clients, we have only explored the surface of India’s huge retailer market. As an organization, our overarching mission is to be an end-to-end service provider for all retailer transactions. Founded in 2017, this fintech startup provides access to flexible, collateral-free working capital to underbanked, semi-urban and rural retailers in India.
Progcap claims to have increased its monthly distribution volume by 400 percent over the past year and has expanded business operations across 10 industries working with leading corporates in these industries. The company said some of its largest customers are using its service to finance about 30 percent of its sub-dealer network.