My Finance Care Advisors Pvt. Ltd, which runs online loans marketplace MyLoanCare, has raised Rs 6.5 crore ($978,000) in a Series A round of funding from Ncubate Capital Partners, the venture capital arm of Gurugram-headquartered SAR Group.
SAR Group is primarily engaged in water purifiers (Livpure), clean tech, and automotive batteries (Livguard).
Gaurav Gupta, MyLoanCare's chief executive officer, told VCCircle that the company plans to primarily use the fresh funds for branding and the rest for improving technology.
MyLoanCare was founded in 2013 by investment banker Gaurav Gupta and process technology and automation expert Deepak Gupta.
It has tied up with banks and financial services companies to offer borrowers a digital platform to compare, select and apply for online loans for purposes such as housing, gold, personal etc.
The company claims to be among the top four online loans marketplaces in the country.
MyLoanCare had raised Rs 1.5 crore in an angel round of funding back in 2015, Gupta said.
The firm also plans to enter new segments of the market including cards, savings and investments.
Ncubate Capital Partners invests in early-stage ventures. Its parent, SAR Group, was founded in 1988 by Navneet Kapoor and Rakesh Malhotra.
In February, Ncubate Capital Partners had led a $1.8 million (Rs 11.7 crore) funding round in shared-living space provider CoLive.
Deals in the space
MyLoanCare is among a slew of fintech startups to have raised funding in recent weeks.
Rubique, a Mumbai-based online marketplace for financial products, on Monday raised an undisclosed amount in a funding round led by Japan’s Recruit Group and Russian venture capital firm Emery Capital.
Last week, Noida-based fin-tech startup PayMe India, which offers loans to salaried employees, received $2 million (Rs 13 crore) in an angel round of funding from a clutch of Singapore-based investors.
Two days before that, Bengaluru-based digital lender Capital Float received $22 million (Rs 144 crore) in equity funding from e-commerce major Amazon India as part of a $45 million Series C round.
Earlier this month, online insurance platform Coverfox completed its $22-million (Rs 144 crore) Series C funding round, which was led by International Finance Corporation, the private-sector investment arm of the World Bank.