Freo, an Indian digital banking app backed by Peak XV Partners, said on May 6, 2026 that it would take 100% ownership of IndiaLends, an online marketplace for personal loans and credit cards. The deal was subject to final regulatory approvals.
Neither company disclosed the price. IndiaLends will continue to operate as a separate entity under Freo's digital banking platform, and the two companies plan a phased integration, with the expected benefits of combining them showing over the following months.
Freo said the combined business would serve more than 50 million users and would soon look to raise a large amount of new capital.
What IndiaLends built
IndiaLends was founded in 2015 by Gaurav Chopra and Mayank Kacchwaa as a digital credit marketplace. Consumers use it to compare and apply for personal loans and credit cards, and it also offers tools to help people build their credit. It describes itself as one of India's largest digital marketplaces for loans and credit cards.
The company has integrations with more than 80 banks, non-bank finance companies (NBFCs) and other financial partners, according to the deal announcement. Outlook Business put the number of lending partners at more than 85. The same publication reported that IndiaLends had served more than 2.5 crore (25 million) users.
Chopra, the founder and chief executive, studied at London Business School and the London School of Economics and previously worked as a banker at Capital One.
Chopra said in the announcement that every Indian deserves access to the right credit, at the right time, from the right lender, and that joining Freo amplifies the mission IndiaLends started with.
“India's digital financial services market is maturing, and relevant consolidation is a natural next step.”
The funding
IndiaLends raised $5.1 million in a Series A round in 2021 from ACP Partners and DSG Consumer Partners, according to Outlook Business. The announcement named ACP Partners, DSG Consumer Partners and American Express Ventures among its investors.
The companies did not say how much those investors received, how many people IndiaLends employs, or what role Chopra will take after the deal.
Reports differed on the deal's status. The May 6 announcement said the acquisition was pending final regulatory approvals, while Outlook Business reported two days later that Freo had acquired a 100% stake.
Why Freo is buying
Freo was founded in 2015 and is known for MoneyTap, its personal credit line product. It also offers digital savings accounts, buy-now-pay-later products and credit score services. It holds a third-party app provider licence for UPI payments, an NBFC licence and an insurance corporate agent licence, and says it reaches more than 1,200 cities and 19,000 pin codes. Its investors include Peak XV Partners, formerly Sequoia Capital India, Prime Venture Partners and MegaDelta.
The company was started by alumni of the Indian Institutes of Technology and the Indian School of Business, who the announcement said had more than a decade of experience building consumer financial products. Its leadership is Varma as chief executive and Anuj Kacker as co-founder.
Co-founder Anuj Kacker told The Economic Times, as cited by Outlook Business, that the two companies had already been doing business together for two to three years and targeted the same customers. Freo said the combined company would concentrate on AI-led workflows, customer analytics, underwriting technology and combined financial products, with a stated aim of serving 500 million middle-income Indian consumers.
Chief executive and co-founder Kunal Varma said the platforms that win in the next decade will combine the right licences, the right distribution and profitable discipline.
Freo's finances
Outlook Business, citing The Economic Times and Tracxn data, reported that Freo's revenue grew from ₹78.6 crore (about $9.3 million) in the 2021 financial year to ₹116.8 crore (about $13.8 million) in the 2025 financial year. Its losses narrowed from ₹38.8 crore (about $4.6 million) to ₹8.8 crore (about $1 million) over the same period.
Freo also raised an undisclosed amount of debt from the Small Industries Development Bank of India (SIDBI) in 2024.
