Digital NBFC Avanti Finance raises $15 million in Series A funding round

With the freshly raised funds, the company has completed its Series A funding round, amassing a total of $41 million or Rs 306 crores in a mix of equity and debt.

Bengaluru-based digital Non-Banking Finance Company (NBFC) Avanti Finance on Thursday announced that it has raised $15 million (around Rs.111 crore) as part of an extended Series A round of funding from existing investors Oikocredit, Nomura, The Bill & Melinda Gates Foundation, and Dr K R Shroff Foundation.

With the freshly raised funds, the company has completed its Series A funding round, amassing a total of $41 million or Rs 306 crores in a mix of equity and debt. For the fundraising, Unitus Capital acted as the exclusive financial transaction advisor to Avanti and Abhiraj Krishna Associates acted as the legal advisors to Avanti.

The finance company plans to use the fresh capital to consolidate its deep tech platform, boost data science, improve and expand its product offerings and scale the team “to enable unparalleled access to affordable credit and financial empowerment to millions of unserved and underserved households in India,” it said in a statement.

Avanti Finance will also endeavour to further strengthen its internal operations to collaborate with mission-aligned social enterprises and foundations, financial institutions, business correspondents, and agri-tech innovators across the country, who are able to provide users digital-based financing services using Avanti’s platform. 

Expressing excitement for the company’s expansion and future prospects, Rahul Gupta, Chief Executive Officer of Avanti Finance, stated that he was thankful to the Board and investors for trusting Avanti’s unique business model to democratise credit for over 100 million households “and make every loan an impact story.” 

Avanti Finance operates a technology-led platform that facilitates a paperless, presence-less, and cashless approach to credit lending aimed at costs and friction reduction for unserved and underserved segments, particularly in rural India. It collaborates with a diverse range of locally operating organisations to offer loans aimed at sustaining community livelihoods. 

 

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