Consumer lending and payments startup Slice is set to raise approximately ₹300 crore ($36 million) via convertible debt in a round co-led by Taneja Family Trust, Anju Family Personal Trust, UK2 Family Trust, and MN Family Trust. This funding is bolstered by significant contributions from Blume Ventures and 8i Ventures.
Key Investors in the Funding Round
The board at Slice has passed a special resolution to issue up to 30,000 compulsory convertible debentures at ₹1,00,000 each. The funding round will be co-led by four family trusts, each contributing ₹30 crore, while Blume Ventures and 8i Ventures will invest ₹27 crore and ₹25 crore, respectively.
Other investors participating in the round include Inland Financial Services, Mintcap Enterprises, Stargazer Ventures, Roger Bravo Advisors, and Broadbridge Capital Management. A number of individual investors, such as Krishna Kumar Karwa, Aditya Jadhav, and Zahir Merchant, are also involved.
How Slice is Shaping the Consumer Lending Space
Founded by Rajan Bajaj, Slice is a leading player in the consumer lending and payments space, primarily focused on millennials. The startup offers a physical and virtual card that allows students and salaried professionals to purchase products and services online on estimated monthly installments (EMIs) through the Slice app. Additionally, Slice helps its users build credit scores through responsible spending and payment behavior.
Despite rapid growth, the company faces challenges. Slice reported ₹847 crore in revenue for FY23, a threefold increase from the previous year. However, the company’s losses grew by 59.8%, reaching ₹406 crore during the same period due to rising non-performing assets (NPAs) and higher employee costs.
What People Think About Slice’s Future Growth
With its latest funding round, Slice is gearing up to strengthen its lending capabilities and continue growing its customer base. The focus on millennials and their needs for easy, collateral-free credit makes Slice a key player in India’s financial tech space.
But what do you think? Will this additional funding help Slice deliver better financial services to its users? Could this lead to more accessible credit options for students and young professionals?
We’d love to hear your thoughts! Share your opinions in the comments below. How do you see this impacting the way you manage your finances or access credit in the future?
Slice’s Growing Investor Base and Market Position
According to TheKredible, a data intelligence platform, Tiger Global holds a 7.9% stake, and Insight Partners has a 6.6% stake in Slice. CEO Rajan Bajaj remains a significant shareholder with a 9.3% stake in the company.
With this convertible debt funding, Slice is looking to solidify its market position, improve its lending products, and possibly prepare for an IPO in the near future.
