Digital lending platform FlexiLoans.com has raised Rs 375 crore ($43.9 million) in its Series C funding round, backed by existing investors Fundamentum, Accion Digital Transformation, Nuveen, and Maj Invest, with participation from new investor British International Investment (BII).
The round includes both primary capital for growth and secondary transactions to provide liquidity to early investors.
The latest round follows a Rs 290 crore financing in September 2024, taking FlexiLoans’ total equity raised over the past 12 months to Rs 665 crore. To date, the company has raised Rs 746 crore in equity and over Rs 2,000 crore in debt funding.
Founded in 2016 by Deepak Jain, Ritesh Jain, and Manish Lunia, FlexiLoans provides unsecured working capital loans to micro, small, and medium enterprises (MSMEs) across India, with a focus on Tier 2 and Tier 3 cities.
The company claims to have disbursed over Rs 10,000 crore in loans across more than 2,100 cities and towns, supporting over 50,000 MSMEs. As of FY25, its disbursements stood at Rs 3,300+ crore with an AUM of over Rs 2,300 crore.
“Proceeds from this funding round will support scaling our AUM to Rs 5,000 crores over the next 18-24 months,” said co-founder Deepak Jain in a chat with DealStreetAsia.
Approximately 66% of the company’s loan book is focused on non-metro markets, and over 10% of loans are to women borrowers. FlexiLoans has maintained profitability for the last three financial years and has reported 83% CAGR growth between FY22 and FY25.
For BII, India remains a crucial destination representing about 20-21% of its balance sheet, with $2.6 billion committed and invested in the country. On an annual basis, around half a billion dollars is invested in India. Its investments in India include Veritas Finance, Ayana Renewable Power, CARE Hospitals, IIFL Finance Ltd and Everest Fleet.
“We are committed to supporting innovative models that drive sustainable economic growth in India. One of the areas we are exploring is EV financing through fintechs and NBFCs in India to support climate actions,” said Srini Nagarajan, Managing Director and Head of Asia, BII, to DealStreetAsia.
Last month, BII made its first investment in India’s solar manufacturing sector, committing $100 million to ReNew Photovoltaics, a subsidiary of ReNew Energy Global Plc.
