Niro, a fintech startup, has stopped operations due to regulatory changes and challenges in raising new funding, according to cofounder and CEO Aditya Kumar.

Founded in 2021 by Kumar and Sankalp Mathur, Niro provided credit solutions for ecommerce platforms through partnerships with firms like Snapdeal, Quikr, and Housing.com.

Kumar said the company raised US$20 million in funding and disbursed US$200 million in loans over 4.5 years.

Niro last raised US$11 million through equity and debt in April 2023, with backers including Elevar Equity, GMO Venture Partners, Rebright Partners, Mitsui Sumitomo Insurance VC, and Innoven Capital.

Kumar cited regulatory pushback on personal lending, deteriorating credit quality, and limited capital as reasons for the closure.

The company also pivoted business models before running out of funding, Kumar said.

🔗 Source: The Economic Times