Sindhuja Microcredit Pvt. Ltd, a rural-centric microfinance company, announced it has raised $8.7 million in its Series B funding round from the Nordic Microfinance Initiative (NMI), the Norway-based impact investor focussed on Africa and Asia and from existing investor Carpediem Capital.
Vidura Capital acted as the exclusive financial advisor for the transaction, while Vertices Partners was the legal counsel for Sindhuja Microcredit, and Antares Legal for the investors.
Sindhuja promoters Abhisheka Kumar and Malkit Didyala said in a statement that the company’s customers comprised mainly of self-employed women in rural regions.
“This funding will be used to scale our operations and provide much-needed financing to these women micro-entrepreneurs,” they said.
Separately, NMI managing director Arthur Sletteberg said the firm was confident of its investment in the micro-lender because of its promoters and the company’s ability to tap the potential of the larger microfinance segment.
In 2019, Carpediem Capital invested $4 million in Sindhuja Microcredit’s Series A round of funding.
The Noida-based company was founded in 2018 by Malkit Singh Didyala. The company claims that it has so far provided micro-loans to over 84,000 self-employed women across five states, including Bihar, Uttar Pradesh and Jharkhand. It currently operates 56 branches and says it has over Rs 170 crore in assets under management.
Sindhuja aspires to serve financially excluded and self-employed micro-entrepreneurs across rural, semi-urban and urban locations in its area of operations through micro finance loans, micro insurance and other suitable financial products.
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