said on Wednesday it was to acquire start of business expense management in one cash and stock deal which would potentially value the fintech startup to $ 180 million, as part of his foray into the the business is spending space.
The deal will help CRED tap into the growing enterprise expense management market, which has seen a lot of activity recently in the aftermath of the COVID-19 crisis. Fintech companies have not only helped businesses to monitor spending more closely, but also centralized business credit cards.
For CRED, a leader in credit card spending and reimbursement rewards, acquiring Happay will help extend its offer to businesses.
“With business expenses being a significant portion of credit card spending, integrating business expense management into the CRED ecosystem is a natural extension of our proposition,” said Kunal Shah, founder of CRED.
“The strength of the product, the customer experience and the vision of Happy align with our intention at CRED to reward responsible financial behavior and we are delighted to support them on their journey to category leadership,” he said. -he adds.
Happy will work as a separate entity within the CRED ecosystem, but works closely with its leaders to expand distribution, expand product offering and increase scale, CRED said in a press release.
Happay employees will receive all of the benefits that members of the CRED team enjoy, including employee stock options.
Launched in 2012 by Anshul Rai and Varun Rathi as an effort to break an important piece of the payment puzzle,is an all-in-one expense management software for businesses that aggregates an organization’s business expenses into a single platform, allowing them to fund, track and manage them online, providing visibility and real-time control over business expenses.
The Bengaluru-based startup serves more than 6,000 companies, including TATA Group, PwC, Maruti,and , among others, managing work-related expenses for over a million users, with $ 1 billion in annual expenses.
“The next phase of our growth will come from building scale, brand and distribution. The experience of the CRED team in this regard is unparalleled, and we are excited to learn and grow together, ”said Anshul of Happay.
In April of last year, Happay launched EPIC – a corporate card designed to meet the needs of startups. The program allows startups to get dedicated physical and unlimited virtual cards, as well as perks like cash back and rewards.