Kunal Shah, the founder of CRED, is set to take on a new role at Meta after the social media company announced a major investment in the fintech platform. As part of a funding agreement valued at $900 million (around Rs. 8,550 crore), Shah will become the new head of WhatsApp, replacing Will Cathcart, who has led the messaging service for the past seven years.
The deal also marks one of Meta’s biggest bets on India’s startup ecosystem. Under the agreement, Meta will acquire a minority stake of nearly 20 percent in CRED, valuing the company at about $4.5 billion, or Rs. 43,239 crore, after the investment. The funding round includes both fresh capital and the purchase of existing shares from current stakeholders.
Kunal Shah Moves to Meta Leadership Team
With the transition, Shah will step down from his position as Chief Executive Officer of CRED and join Meta’s global leadership team. He will take charge of WhatsApp at a time when Meta is looking to expand the platform’s business opportunities beyond messaging.
According to the company, Shah’s responsibilities will include developing new revenue streams through advertising and subscription-based offerings. He will also oversee efforts to bring artificial intelligence-powered tools and agents into WhatsApp’s ecosystem.
Meanwhile, Cathcart will move to a new role within Meta that focuses on the company’s artificial intelligence initiatives.
CRED Names Interim CEO
Following Shah’s departure from day-to-day operations, CRED has appointed Miten Sampat as interim Chief Executive Officer with immediate effect. Sampat has been leading strategy and finance functions at the company since 2020.
CRED said its board and senior management team are working on a long-term leadership structure as the company prepares for a future public listing. The fintech firm noted that business operations and growth plans will continue under the existing leadership team during the transition period.
Growth Beyond Credit Card Payments
Founded in 2018, CRED started as a platform that rewarded users for paying their credit card bills on time. Over the years, the company has expanded into several financial services categories, including payments, lending, insurance, wealth management and lifestyle-focused offerings.
The company claims to have 1.7 crore monthly active users and says it processes more than 40 percent of India’s credit card bill payments. Its lending business has also grown significantly, reaching assets under management of Rs. 24,000 crore for partner financial institutions.
CRED further stated that its annual revenue has touched around Rs. 3,200 crore and that the company has achieved profitability. The latest investment from Meta is expected to support the next phase of growth for the fintech platform while strengthening ties between one of India’s startups and one of the world’s largest technology companies.
