Credit and Finance for MSMEs: The company plans to increase its AUM to Rs 4,000 crores in the next two or three years.
Credit and Finance for MSMEs: Indifi Technologies, the digital MSME lender, has raised Rs 290 crore in the fifth round of funding led by ICICI Ventures. Existing investors including British International Investment, OP Finnfund Global Impact Fund I, Omidyar Network India, Flourish Ventures and CXPartners also participated in the funding round.
IIFL Securities acted as an exclusive advisor and Shardul Amarchand Mangaldas served as the legal advisor to Indifi Technologies for this transaction.
The Gurugram-based fintech plans to utilise these funds to add new product lines and increase its customer base. “We will utilise the raised amount to extend our credit line to MSMEs while also strengthening focus on the existing network, and targeting new customers such as D2C and logistics service providers,” Alok Mittal, CEO and Co-founder, Indifi told FEAspire in an exclusive conversation.
Regarding new lending products, the firm plans to launch short-term financing solutions such as supply chain finance, payables finance, and MSME credit cards amongst others in the near future. So far, Indifi’s focus has been on working capital products and term loan solutions for MSMEs.
Indifi doubled its assets under management from Rs 750 crore in FY 2022 to Rs 1,500 crore in FY 2023. Now, the company plans to increase its AUM to Rs 4,000 crores in the next two or three years. It also announced turning profitable in the first quarter of the last fiscal year.
In November 2021, the company announced raising a Series D funding round amounting to Rs 340 crore led by CX Partners, and OP Finnfund Global Impact Fund I.
Founded in 2015 by Alok Mittal and Siddharth Mahanot, Indifi has offered working capital loans with a disbursement value of Rs 4,100 crore to 73,000 MSMEs in 400 cities across segments such as grocery retailers, apparel retailers, and mobile phone e-commerce sellers. The interest range varies from 13 per cent to 30 per cent, depending on the credit profile of the customer and the product they are opting for.