Micro-mortgage lender Aviom India Housing Finance on Tuesday said it has raised $30 million in its Series D equity funding round led by global investment management firm Nuveen.
The latest fundraise also includes a secondary component, with private equity firm C4D Partners marking a partial exit. Netherlands-based impact investor C4D Partners had invested in Aviom India’s Series B funding round in August 2019, along with Japan's Gojo & Company.
Prior to the latest funding mop-up, Aviom had also raised $8 million (around Rs 59 crore then) in its Series C round from Sabre Partners in October 2021.
Aviom, which caters to low-income households in rural and semi-urban areas, plans to use the funds to expand its market reach and strengthen its operational capacities. The company provides them with construction, improvement, sanitation, and renovation loans.
“The funds from this round will support our efforts toward amplifying Aviom’s market reach…The year has begun on an optimistic note. We’re confident of continuing this streak with more business milestones,” said Kajal Ilmi, founder, managing director and chief executive officer, Aviom India Housing Finance
“We also have C4D Partners making a partial exit with this round. C4D has a track record of working closely with its portfolio, and the investor offers immense support beyond just capital,” Ilmi added.
Aviom claims that since C4D’s investment in Aviom, its gross loan portfolio has grown seven times. It has also increased its employee count from 323 to 2,211 and has built a network of 118 branches across 12 states in India.
C4D Partners had invested in Aviom from its maiden fund. The PE firm claims that it has achieved excellent returns with its partial exit from the micro-lender, despite global economic challenges and unfavourable market conditions.
The PE firm has recently launched its $50 million India-dedicated fund for which it received Securities and Exchange Board of India (Sebi) approval in September last year. It was looking to mark the first close of the fund by the middle of this year.
