In a round of funding from Stellaris Venture Partners and India Quotient, Propelld, a Bangalore, India-based loan platform for learners attending vocational training programs, raised 150 million rupees (around $2.2 million). Participants are India Angel Network; TaxiForSure’s founder, Raghunandan G, and Livspace’s founder, Ramakant Sharma.
In 2018, Propelld had raised a seed round of Rs 1.7 crore from IAN.
Propelld has linked up with over 150 academic institutions across the nation and has so far expanded loans to over 1,500 learners. It intends to raise its institutes and students base by ten times over the next 18 months with the recent financing.
Citing Propelld’s chance in the underserved credit market, Ritesh Banglani, Stellaris Venture Partners ‘ partner, said Propelld is using its algorithms to give loan to a much wider group of learners by anticipating their future earning ability, making it an appropriate player to bridge the financing gap in the industry.
“We are expanding the education credit market by establishing tailor-made loan products with input from our institute and NBFC partners to soon identify default risk and share the downside among stakeholders,” said one of the founders, Bibhu Prasad Das. “Through our distinctive attitude to loan underwriting, we have been able to keep outstanding portfolio efficiency.”