06 August 2018, India:
Satya MicroCapital has raised ₹43 crore in fresh round of funding. The funding round was led by Japan-based Gojo & Company. Existing investor Dia Vikas Capital Pvt. Ltd. also participated in the funding round.
The company will use the fresh capital to expand its presence across existing as well as new geographies and build a diversified loan book.
“We take great pleasure in welcoming Gojo on board. Gojo not only holds a deep understanding of the microfinance sector in Asia but also shares our long-term vision of building a high-quality organisation serving people at the bottom of the economic pyramid. Moreover, additional funding by our existing investor Dia Vikas Capital further validates our business model and the growth we have achieved in such a short time. We are certain that the funds raised will enable us to continue growing and empowering more and more Entrepreneurs from the underserved sections of society,” said Vivek Tiwari., MD and CEO, Satya MicroCapital Ltd.
“It gives a great pleasure to partner with a young and dynamic microfinance institution like Satya MicroCapital. Gojo was created to promote financial access across the globe and has already made equity investments in MFIs based in Cambodia, Myanmar and Sri Lanka. So, when it came to a highly competitive market like India, we wanted to invest in an NBFC MFI, which had the potential, as well as the required ability to provide financial access to a large client base in the coming years. & we found that partner in Satya: an enviable growth in its first eighteen months; an efficient and client friendly model created through an appropriate mix of social ideology and technology, and a competent team under the strong leadership of Vivek Tiwari, who leads the team from the front. I am quite pleased that the equity infusion in this current round will allow Satya to support its robust expansion plans,” said Sanjay Gandhi, Founder and Chief Investment Officer, Gojo & Company Inc.
Satya MicroCapital started operations in January 2017. It provides loans to small entrepreneurs in both rural and urban areas. . Its Limited Liability Group (LLG) model, mainly focuses on women, with their husbands acting as co-borrowers, through a credit product that allows them to start a new business or build their existing business. It has 55 branches across 55 districts in 11 states — Assam, Bihar, Chhattisgarh, Haryana, Himachal Pradesh, Odisha, Punjab, Rajasthan, Uttar Pradesh, Uttarakhand and West Bengal.
(Image – Satya MicroCapital)