Meta acquires a 20% stake in CRED through a $900 million investment as founder Kunal Shah prepares to take charge of WhatsApp’s global operations.
Key Highlights
- Meta invests $900 million in CRED’s Series H funding round.
- Meta to acquire approximately 20% stake in CRED.
- Kunal Shah set to lead WhatsApp globally.
- CRED valued at $4.5 billion post-investment.
- Miten Sampat appointed interim CEO of CRED.
New Delhi, June 23: Meta Platforms has invested $900 million (approximately ₹8,550 crore) in fintech startup CRED as part of its Series H funding round. As part of the agreement, CRED founder Kunal Shah has been appointed to lead WhatsApp globally, succeeding Will Cathcart.
Under the deal, Meta will acquire an estimated 20% stake in CRED, valuing the company at around $4.5 billion (₹43,239 crore) on a post-money basis. The funding round includes a combination of primary and secondary share purchases.
Following the leadership transition, Shah will step down as Chief Executive Officer of CRED and join Meta’s global leadership team. He is expected to oversee WhatsApp’s next phase of growth, focusing on monetisation through advertising, subscription services, and AI-powered experiences.
Will Cathcart, who has led WhatsApp for the past seven years, will reportedly move into a new role dedicated to Meta’s artificial intelligence initiatives.
CRED has appointed Miten Sampat, who has been leading strategy and finance functions since 2020, as interim CEO. The company said its board and leadership team are working on a long-term management structure as it prepares for a future public listing.
Founded in 2018, CRED started as a platform rewarding users for timely credit card bill payments and has since expanded into payments, lending, insurance, wealth management, and lifestyle services.
According to the company, CRED now serves approximately 1.7 crore monthly active users, processes over 40% of India’s credit card bill payments, manages ₹24,000 crore in lending assets through partner institutions, and has achieved profitability with annual revenue of around ₹3,200 crore.
