Kreditech receives Rs 770-crore investment from PayU

New Delhi May 10 (IANS) Technology group for digital consumer credit Kreditech has received a EUR 110 million (around Rs 770 crore) investment from global online payment service provider PayU a company statement said here on Wednesday.

The statement said as part of the deal Kreditech and PayU had agreed to a global partnership to deliver a joint proposition for point of sale finance.

According to the statement the investment is the largest-ever equity investment in a German fintech company and builds on a successful 12-month pilot programme in Poland.

Kreditech will expand its Lending as a Service (LaaS) offering and deliver its unique AI (artificial intelligence) and machine-learning credit underwriting and loan management technology to PayU s 300 000-strong network of merchants it said.

The announcement follows a successful pilot programme managed by Kreditech and PayU offering Polish consumers improved access to credit in a real-time online process. The pilot programme issued more than EUR 10 million in credit.

The statement noted that through this financing PayU had acquired a significant minority stake in Kreditech.

Kreditech s and PayU s...partnership is the first such strategic cooperation pact between a payment service provider and a technology-driven consumer finance company it added.

Kreditech s LaaS product line is an API (application programme interface)-based solution which enables partners to offer tailor-made consumer financial products to their customers built on top of its technology and machine-learning based underwriting.

--IANS
ppg/nir