FlexiLoans secures Rs 290 crore from global, domestic investors
Digital lending platform FlexiLoans has raised Rs 290 crore in Series C funding from global and domestic investors, including Nandan Nilekani co-founded Fundamentum, Accion, a US-based non-profit organisation, Nuveen, and existing investor Maj Invest.
FlexiLoans, which lends to small businesses through a cash flow-based lending model, will use the fresh capital to expand its operations, enhance its product offerings, and strengthen its technological infrastructure, the company said in a release.
The fresh capital will help the company grow its assets under management (AUM) from Rs 2,000 crore currently to Rs 3,500 crore. To date, FlexiLoans has disbursed over Rs 7,000 crore in loans across more than 2,100 towns and cities.
“While as an NBFC we will keep raising funds as and when required, this capital should be good enough for us to grow to Rs 3,500 crore in AUM,” said Deepak Jain, co-founder, FlexiLoans.
The firm is targeting to disburse around Rs 5,000 crore in loans in FY25.
In the next 3-4 years, the company might look to go public, Jain said. “We want to do it at the right time when we hit the right size and scale,” he said, adding that the company has been profitable for the last three years and is targeting double-digit profit in the current financial year and triple-digit profits in the next financial year.
“Our credit cost is around 3.3 per cent as of the June quarter. We have always remained sub-5 per cent as far as credit costs are concerned,” he said.
Unitus Capital acted as the exclusive advisor to the transaction.
Before this round, the company raised capital from Sanjay and Falguni Nayar, Maj Invest, Fasanara Capital, along with other prominent family offices.
First Published: Sep 11 2024 | 12:14 AM IST