Fintech unicorn CRED has raised $900 million (about Rs 8,500 crore) in a fresh funding round led by Meta, founder Kunal Shah announced on Monday. This is a major deal by Meta for an Indian startup.
The funding includes both primary and secondary capital. Shah did not disclose the valuation at which the round was completed, reports last week suggested that Meta was evaluating an investment in the Bengaluru-based startup at a valuation of around $4 billion.
The fundraise comes alongside a major leadership transition at CRED. Shah announced that he is stepping down from his operating role as chief executive officer, with the company’s strategy and finance head, Miten Sampat, taking over as interim CEO. Shah will continue as a shareholder in CRED and join Meta to lead WhatsApp globally.
Funding marks a new chapter for CRED
Announcing the development on LinkedIn, Shah said CRED had reached an important milestone in its growth journey.
“2026 — First profitable quarter (yet occasionally asked what our business model is),” Shah wrote.
He added, “Raised another $900M from Meta in primary and secondary capital. Announcing our 5th ESOP buyback.”
Founded in 2018, CRED started as a platform that rewarded users for paying their credit card bills on time. Over the years, it has expanded into lending, payments, insurance, wealth products, commerce and merchant services.
Shah said the company has grown to around 17 million members and now generates nearly $325 million (about Rs 3,200 crore) in annual revenue.
He also added, “Built a system run by a team that values ownership, judgment, and craft. Grew from 0 to 17M members by aligning incentives with behaviour.”
Shah stated that CRED had raised more than $900 million from global investors before the Meta deal and completed four employee stock ownership plan (ESOP) buybacks. The company recently secured a payment aggregator licence from the Reserve Bank of India, strengthening its position in India’s digital payments ecosystem.
Zuckerberg welcomes Shah to Meta
Alongside the funding announcement, Shah said CRED was ready for its next phase of growth under new leadership.
“CRED is ready for its next phase. I am stepping back and Miten Sampat steps in as interim CEO, partnered with an incredibly talented team,” Shah said.
Meta CEO Mark Zuckerberg confirmed that Shah will take over leadership of WhatsApp, calling him as an entrepreneur who built one of India’s most influential technology companies.
“Kunal built CRED into one of India’s most important technology companies, and he brings the kind of builder mentality and global perspective that will serve him well in running the world’s biggest messaging app,” Zuckerberg said on Facebook.
Praising Sampat, Shah added, “He has been heading strategy and finance and suffering me since 2020.”
Shah stressed that while he would no longer be involved in day-to-day operations, his commitment to the company remains unchanged. “I’m stepping away from the operating role and will continue as a shareholder. My commitment doesn’t change. Just the role,” he wrote. He also thanked the company’s stakeholders, saying he was “extremely grateful to our members, partners, regulators, and investors who made this possible.”
Focus shifts to WhatsApp’s next phase
Explaining his decision to join Meta, Shah said he sees significant room for growth at WhatsApp despite its massive global user base. “As for me, I’ll be joining Meta to lead WhatsApp globally,” he wrote.
“While it’s come very far, the delta between WhatsApp today and its full potential is massive. I look forward to working with Mark, Chris, and the leadership across Meta for the next step in WhatsApp’s journey.”
He also thanked outgoing WhatsApp chief Will Cathcart, saying, “Will, thank you for scaling something the world relies on quietly, and for making this transition smooth.”
Shah sought to reassure CRED users about the Meta investment, stating that the social media company would remain a minority investor in the fintech startup.
“Meta comes in as a minority investor in CRED. No access to member data,” he said. The deal gives CRED fresh capital to expand its financial services business and enabling Shah to take on one of the most high-profile leadership roles in global technology.