BENGALURU: Fintech start-up CRED, which turned into a unicorn in April this year, will acquire corporate spend management platform Happay for a cash and stock deal. This transaction pegs Happay’s valuation at around $180 million.
While Happay will operate as a separate entity, the team will work closely with CRED leadership to leverage its ecosystem, build distribution, expand the product offering and drive scale.
Happay’s 230-member team will get all the benefits extended to CRED team, including its ESOP programme, CRED said on Wednesday.
The move will bring in synergies between CRED — the majority of whose members are professionals who use it to manage personal payments across multiple credit cards — and Happay — the unified platform for business expenses, payments, and travel bookings.
Kunal Shah, founder, CRED, said, “Turning the pain of credit card management into a delight has enabled CRED to grow rapidly over the past three years. With professional expenses forming a significant portion of credit card spends, bringing professional expense management into the CRED ecosystem is a natural extension of our proposition.”
Happay is a business expense, payments and travel management platform serving over 6,000 businesses. It manages work-related expenses for over 1 million users globally with $1 billion in annual spends.
Anshul Rai, co-founder and CEO, Happay, said, “We’ve invested in building a category-defining product at Happay. The next phase of our growth will come from building scale, brand, and distribution.”