Inside Per Annum’s High Returns Illusion

Lendbox parent Transactree’s investment platform, Per Annum, is under scrutiny. Despite RBI tightening P2P lending rules in 2024, investors claim the platform is once again pairing high-return pitches with limited risk talk. Is this the old P2P playbook in a new wrapper?

The High-Return Pitch: Per Annum’s sales narrative appears to be built around promises of attractive yields. Investors and prospective customers told Inc42 that representatives promoted P2P products, offering up to 14-15% returns, and fractional real estate opportunities that could fetch 30-40% gains. Sales personnel even assured prospects that borrower spreads could soften losses. 

This explicitly violates the RBI’s 2024 mandates on P2P lending, which prohibited credit guarantees, promises of assured returns, and mimicking deposit-like products.

The Real Estate Angle: This background makes Per Annum’s expansion into alternative assets more sensitive. The platform now sells access to “Estates,” a fractional real estate product, and “P2P Edge,” a lending offering marketed as delivering up to 15% returns over six months. Investors claim that the promise is similar even if the wrapper has changed. 

Crumbling Financials: This friction comes as Transactree’s balance sheet remains under stress. Operating revenues plummeted 35% YoY to ₹275 Cr in FY25, while net profit dropped to a meager ₹4.8 Cr alongside deeply negative operating cash flows. 

The AUM Question: Discrepancies shroud Lendbox’s claims of ₹10,000 Cr in assets under management. While rival LenDenClub claims to command up to 80% of a ₹3,000 Cr total industry book, Lendbox’s outsized volume metrics appear completely divorced from its live operational realities. Also, Transactree’s paltry investor interest payout of ₹4.5 Cr in FY25 is not indicative of the ₹10,000 Cr AUM claims.

While Transactree claims that it remains compliant and does not offer risk-sharing or guaranteed returns, are Per Annum’s investors being lured back into complex alternative assets by high-yield promises? Let’s find out… 

From The Editor’s Desk

Turtlemint’s IPO Subscribed 1.2X

• The insurtech platform’s IPO was subscribed 1.2X on the final day, receiving bids for 3.95 Cr shares as against 3.29 Cr shares on offer. Shares of the soonicorn will now list on the exchanges on June 29.
• QIBs emerged as the most active participant, subscribing the portion reserved for them 1.59X. Retail investors also subscribed their quota 1.07X, while the NIIs portion remained undersubscribed at 52%.
• Turtlemint’s IPO comprised a fresh issue worth ₹660.7 Cr and an OFS of up to 1.46 Cr shares by promoters and existing backers. It has set a price range of ₹144 to ₹152 apiece, valuing the startup at ₹4,513 Cr at the upper end of the spectrum.

Square Yards Becomes Unicorn

• The proptech startup has raised ₹900 Cr, in a mix of equity and debt, in a fresh round led by EAAA Alternatives at a valuation of over $1 Bn. With this, Square Yards has become India’s 131st unicorn.
• Square Yards plans to raise another $50-60 Mn over the next quarter, eyeing a valuation of $1.6 Bn for the upcoming fundraise. This comes as the startup has been eyeing a ₹2,000 Cr IPO for a while now, which will comprise both fresh issue and OFS.
• Founded in 2014, Square Yards offers end-to-end real estate solutions, including search, financing, home interiors and property management. Having raised $208 Mn to date, it closed FY26 with a revenue of ₹2,086 Cr, while EBITDA improved to ₹176 Cr.

Honasa’s Nutraceutical Foray

• The D2C giant’s board has approved a proposal to acquire 58% stake in nutraceuticals company Fluence Pharma for ₹135 Cr. Marking its entry into the nutraceuticals space, Honasa will set up a new subsidiary to build this new vertical. 
• The secondary deal is expected to fructify within eight weeks. Further, Mamaearth plans to buy the remaining 42% stake via secondary transactions in two tranches over the next  seven years.
• Founded in 2012, Fluence Pharma manufactures and sells skin and hair health supplements through a network of over 3,000 dermatologists and trichologists. Its turnover for the fiscal year FY25 stood at ₹37.2 Cr, up 3% YoY.

Mitigata Bags $15 Mn

• The cybersecurity startup has raised about ₹141 Cr in its Series B round led by Bessemer Venture Partners to accelerate its global expansion, upgrade its AI stack, scale its domestic security operations centre and double its current team size.
• Founded in 2023, Mitigata is a full-stack cyber resilience platform that aims to help companies manage both cybersecurity threats and financial losses due to the same. It claims to be the first IRDAI-regulated broker for cyber insurance. 
• The startup claims to have recorded 12X YoY growth over the past year and triaged more than 10 Lakh security incidents. It serves over 800 organisations across sectors such as BFSI, healthcare, manufacturing, automotive, and ecommerce. 

Optimo Capital’s FY26 Show

• EaseMyTrip cofounder Prashant Pitti’s NBFC has claimed that its net profit jumped 4.8X YoY to ₹10.5 Cr in FY26, while operating revenue zoomed 423% YoY to ₹68.5 Cr in the fiscal under review. 
• The NBFC’s total assets under management stood at ₹441 Cr, up 179% YoY, while disbursements hovered around ₹401 Cr at the end of the fiscal year. Average ticket size stood in the range of ₹10-50 Lakh, with tenures averaging at 10 years.  
• Founded in 2024, Optimo Capital offers loans to MSMEs, which are secured against self-acquired residential properties. It follows a phygital verification model by utilising digital land records to ascertain property values. It has raised ₹228 Cr to date.

Inc42 Markets

Inc42 Startup Spotlight

How Gamehok Is Levelling Up India’s Esports Ecosystem

India’s esports scene is growing rapidly, but it remains fragmented. Gamers juggle multiple platforms for tournaments, discovery and community engagement, while grassroots players struggle for visibility. Enter Gamehok, a startup trying to bring structure to this ecosystem.

A Unified Platform: Founded in 2024, Gamehok operates an AI-powered esports platform designed as a one-stop hub for competitive gaming. It enables players to compete, connect, learn, and build a digital presence within the gaming community.

Simplifying Competition: Gamehok streamlines tournament workflows through automated matchmaking, bracket generation and real-time anti-cheat systems. It also goes beyond tournaments by offering performance tracking, content creation tools, and verifiable rewards. Gamers can build identities and showcase achievements, while brands can host custom tournaments to engage with targeted communities.

Growing Steadily: Within six months of launch, Gamehok claims to have onboarded over 25,000 users organically, hosted 1,000+ tournaments, and achieved more than 50% monthly active engagement. This traction reflects a growing demand for cohesive esports infrastructure.

With India’s esports market projected to become a $300 Mn opportunity by 2030, can Gamehok bring players and tournaments under one roof?

Infographic Of The Day

If AI is the next big opportunity, Info Edge wants a front-row seat. The VC firm has so far deployed more than ₹1,003 Cr across India’s AI and deeptech startups. Here is all about it…

The post The Lendbox Puzzle, Turtlemint’s IPO & More appeared first on Inc42 Media.

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