California-based Tala, a micro-financing startup targeting emerging markets, has raised $110 million in its Series D round of funding led by RPS Ventures, a fund set up by former SoftBank managing director Kabir Misra.
US-based multi-stage investment firm GGV Capital joined this round as a new investor. Existing investors such as IVP, Revolution Growth, Lowercase Capital, Data Collective VC, ThomVest Ventures and PayPal Ventures also participated in the round, an official statement said.
The funding will fuel Tala’s expansion in India, support the launch of new products, and help grow its team including the engineering hub in Bengaluru, the startup said in the statement.
“We are thrilled to be accelerating Tala’s growth in India where my entrepreneurial journey began. India is one of the most dynamic fintech markets in the world, and we have the product, the world-class team, and now the funding to meet the country’s massive unmet demand for equitable financial services,” said Shivani Siroya, founder and CEO, Tala.
As part of the deal, Misra has joined Tala’s board of directors.
Founded in 2012 by Siroya, Tala (earlier known as InVenture) provides instant micro-loans service straight to a user's mobile wallet or other cash out options.
Users can request a loan on its mobile app, the company underwrites customers and disburses unsecured loans via smartphone. The startup offers loans in the range of $10 to $500.
Siroya has previously worked with United Nations Population Fund, Health Net, Citigroup and UBS.
The company claims to have loaned more than $1 billion to four million customers across three continents with a 90% repayment rate.
Tala has raised an additional $100 million in debt financing over the past year, including $50 million led by Colchis Capital.
Tala has more than 500 employees across offices in Bengaluru, Santa Monica, Nairobi, Mexico City and Manila.