Flipkart co-founder and former CEO Sachin Bansal has reportedly invested Rs 739 crore in microlender Chaitanya Rural Intermediation Development Services (CRIDS) for an undisclosed stake. Following his investment, Bansal will take up the position of chief executive officer in the Bengaluru-based non-banking finance company (NBFC).
"There will be total infusion of Rs 739 crore from Bansal and he will assume the role of chief executive of CRIDS," the microlender said in a statement.
CRIDS was founded by Samit Shetty and Anand Rao who will continue to be associated with the business, CRIDS further said.
CRIDS was formed to extend financial services in rural regions of the country. The company provides loans for two-wheelers, housing, small businesses and education across Karnataka, Bihar, Jharkhand, Maharashtra, and Uttar Pradesh.
"Samit and Anand have built a great company that provides much needed financial access to people who don't have access to other formal finance. I look forward to working closely with Samit and Anand and building further on the solid work they have done," Bansal said on his latest venture.
"We are looking forward to benefiting from Bansal's insights and experience with technology, and how that can be leveraged for improving access to financial services, financial inclusion and making our business better, more sustainable and customer-centric," Rao said.
Bansal exited Flipkart last year after US-based retail giant Walmart acquired majority stake in the e-commerce platform. He later sold his 5.5 per cent stake in Flipkart for $1 billion. In February this year, Bansal had invested Rs 650 crore in cab aggregator Ola in his personal capacity as an investor.
(With agencies' input)