Microfinance lender Satya MicroCapital (Satya), focused on self-employed rural women, has raised fresh funding of $15 million (around Rs 117 crore) led by its existing Japan based investor-Gojo & Company Inc.
"The total amount of fiscal backing is constituted by $8 million being allocated to Debt and $7 million being allocated to equity. This is for the first time Satya has received debt funding from Gojo & Company Inc," the company said in a statement.
The New Delhi-based non-banking financial company (NBFC) plans to use these funds to expand its geographical footprints and its product portfolio.
"We are certain that these funds will enable Satya to accomplish its vision of reaching 50 lakh households by the year 2025. We will be channelizing this funding to provide essential and affordable credit services to women micro-entrepreneurs for the revival of their livelihood and businesses via our extensive operational network," said Vivek Tiwari, MD, CIO & CEO of Satya MicroCapital.
Early this year, Satya raised Rs 42 crore (around $5.65 million) in a fresh funding round in the form of non-convertible debentures (NCDs) from funds managed by responsAbility Investments AG. Last year in December, the lender said it had completed a strategic investment to pick up a 24% stake in Baid Housing Finance.
A year ago, Gojo & Company, which holds stakes in several microlenders, has invested multiple times in Satya including equity funding round in August 2018. Prior to that, Satya has also raised capital from Dia Vikas Capital in 2017 and 2018.
Founded in 2017, the microlender is addressing the financial inclusion opportunity emblematic approach to traditional microfinance by directing comprehensive emphasis on leveraging technology for improvising the customer experience along with reducing operational costs.
The lender currently operates with 350 plus branches in more than 35,000 villages of over 225 districts in 21 states catering to more than 9 lakh clients.