Cred to acquire expense management start-up Happay at $180 mn valuation

Fintech unicorn Cred will acquire expense management start-up Happay at a valuation of $180 million in a cash and stock deal.

While Happay will operate as a separate entity, its employees will work closely with Cred’s management to leverage its ecosystem, build distribution, expand the product offering and drive scale. Happay’s 230-member team will get all the benefits extended to Cred employees, including its ESOP program.

“The move will bring in synergies between Cred, the majority of whose members are professionals who use it to manage personal payments across multiple credit cards, and Happay, the only unified platform for business expenses, payments, and travel bookings,” a statement by Cred said.

Happay is a business expense, payments and travel management platform serving over 6,000 businesses. It manages work-related expenses for over 1 million users globally with around $1 billion in annual spends. Some of its key customers include the Tata group, PwC, Maruti, OYO, Byju's, and Udaan, among others.

Kunal Shah, founder of Cred, said, “Happay’s product strength, customer experience, and vision align with our intent at CRED to reward responsible financial behaviour and we’re excited to partner them in their journey towards leading the category.”

“The next phase of our growth will come from building scale, brand, and distribution. The Cred team’s experience in this regard is unparalleled, and we’re excited to learn and grow together,” said Anshul Rai, co-founder and CEO, Happay.