Micro lender Light Microfinance has raised USD 24.5 million (about Rs 196 crore) from the UK’s impact investor BII and existing equity partners to finance its expansion into northern and eastern regions of the country.
This is the company’s series B funding led by British International Investment (BII) and existing investors Nordic Microfinance Initiative (NMI), Triple Jump BV and Incofin IM.
BII, the UK government’s development finance institution with focus on Asia, Africa and the Caribbean, invested USD 9.2 million while NMI put in USD 7.9 million, Triple Jump USD 5.4 million and Incofin USD 2 million.
Nordic Microfinance Initiative (NMI) is a Norwegian public-private partnership aimed to invest towards social impact and sustainable financing in Asia and Africa. Triple Jump is a Dutch impact-focused investment entity.
Incofin is a consortium of leading development banks, insurance companies, pension funds, alternative investment funds, HNIs and retail investors which puts in the pooled capital in emerging countries for inclusive growth.
Ahmedabad-based Light Microfinance has operations in Gujarat, Rajasthan, Madhya Pradesh and Haryana.
In series A funding, it had raised Rs 75 crore about a year ago.
The technology-led model for lending, Light Microfinance plans to expand into new geographies like Himachal Pradesh, Uttar Pradesh, Odisha, Jharkhand with this round of funding. It will also launch new products for micro, small and medium enterprises (MSMEs).