Avanti Finance has Secured $14.2 Million in Series B1B2 Round Funding

Avanti Finance, a tech-driven NBFC focused on financial inclusion, has raised $14.2 million (Rs 120 crore) in funding from Dia Vikas Capital, existing investors IDH Farmfit Fund, NRJN Family Trust, Rabo Partnerships, and some high-net-worth individuals (HNIs).

The Bengaluru-based company was initially supported by The Bill & Melinda Gates Foundation, Oiko Credit, and Nomura. Avanti Finance plans to use the funds to grow its loan portfolio, improve its technology platform for easier credit access, and expand its reach in both rural and urban areas.

Founded in 2018 by Ratan Tata, Nandan Nilekani, and economist Vijay Kelkar, Avanti Finance aims to provide financial products to underserved communities.

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The company has built a wide and efficient network of partners, including small financial institutions, agritech companies, and fintech firms. These partners help serve customers through over 700 branches across 27 states and 430+ districts. The company also offers co-lending for microfinance and works with well-known financial institutions.

Avanti Finance raised $24 million in a Series B funding round last April. With the current funding, the total amount raised so far is around $80 million. The company has helped 900,000 low-income households, managing assets worth Rs 1,640 crore.

Rahul Gupta, CEO of Avanti Finance said, "Ninety per cent of its borrowers are women served via an assisted technology model, with loan products designed to mirror livelihood specific cashflows, enabled by Avanti’s deeptech platform, We are delighted to have Dia Vikas Capital partner in Avanti’s journey to usher in a next-gen financial inclusion platform that is focused on creating sustainable livelihoods for the next 100 million households that are un/underserved, The repeat investment from our existing shareholders is also a strong validation of our transformational asset light and capital efficient model,”.

Arpita Pal Agrawal, MD & CEO of Dia Vikas Capital said, “We are really excited to partner with Avanti with their vision and work to create impact at scale across India by combining the power of technology and a curated network of diverse partners to offer hyperlocal, crowdsourced, fit-for-purpose loan products to enhance the financial well-being of low income households, Dia Vikas Capital is a subsidiary of Opportunity International Australia, which partners with inclusive financial service providers. "

About Avanti

Avanti is a digital platform that provides financial services to people who are often excluded from traditional banking. It operates with an NBFC and MFI license and aims to offer affordable financial services to 100 million households that are unserved or underserved. The company was co-founded by Ratan Tata and Nandan Nilekani through their philanthropic funding.

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