NEW DELHI: :
Berar Finance Ltd, which runs a two-wheeler-focused financing unit, has raised ₹100 crore($13 million) in an fairness spherical of funding led by Denmark-based personal fairness fund Maj Make investments.
The corporate’s present investor Amicus Capital additionally participated within the present funding spherical, as per a press assertion.
The agency plans to utilise the contemporary capital to develop its department community, moreover diversifying its product providing into small ticket secured small and medium enterprises (SME) loans.
“Berar Finance has established itself as one of many main two-wheeler financers with a differentiated enterprise mannequin centered in direction of rural and semi-urban places. The present spherical of capital increase will speed up the Firm’s goal of offering entry to credit score in these markets because it appears to be like to develop its department community in addition to enter into new product segments,” stated Sandeep Jawanjal, MD at Berar Finance.
Berar Finance, which was arrange by Maroti G Jawanjar in 1990, claims to have a mortgage guide of ₹900 crore. It has a community of 105 branches unfold throughout the six states of Maharashtra, Chhattisgarh, Madhya Pradesh, Gujarat, Karnataka and Telangana. It is likely one of the choose non-banking monetary firms (NBFCs) in India with a license from the Reserve Financial institution of India (RBI) to just accept retail deposits from public.
Aside from two-wheeler loans, Berar Finance additionally gives financing for automobiles, business automobiles and agriculture gear. In February 2020, mid-market progress capital agency Amicus Capital had invested ₹70 crore in Berar Finance.
“We’re trying ahead to working carefully with Berar Finance to allow their mission of offering inexpensive finance to clients in rural and semi-urban areas to enhance their entry to mobility. Berar has a singular enterprise mannequin and has a strong market positioning in credit score underpenetrated districts of central India,” stated David Paradiso, Accomplice at Maj Make investments stated.
With regional places of work in India and Peru, Maj manages belongings price $18 billion, of which round $2 billion are in personal fairness commitments. Maj Make investments Monetary Inclusion funds are sector-focused, closed-end personal fairness funds investing progress capital straight into monetary establishments throughout Asia, Latin America and Africa.
A few of its earlier bets in India are banking correspondence corporations SAVE Options Pvt. Ltd, BASIX Sub-Okay iTransactions, and microlender Aye Finance.
Supply: Live Mint