Hyderabad-based Vivifi India Finance Pvt. Ltd has raised $75 million (Rs 623 crore) in its Series B round from a US investor in a mix of equity and debt, the non-banking financial company said on Wednesday.
Without disclosing the name of the investor, Vivifi said that the backer has a large portfolio of investments in the US in speciality/alternative finance that challenge the incumbent banks and other financial institutions.
Vivifi plans to use the funds to support the extension of financial services to those in under-served communities through its products, FlexPay and FlexSalary, it said in a release.
The fund will help the company target a million users and expand workforce to over 2,000 in the next 12-18 months from 800 now, it said. Vivifi is also looking to set up offices across tier-II and tier-III cities in Telangana and Andhra Pradesh initially, and plans a nationwide expansion later.
The company had secured Series A funding from US-based Viernes Holdco in 2019, according to VCCEdge, the data research platform of VCCircle.
Vivifi, which was founded by Anil Pinapala and Srinath Kompella in 2016, offers sachet-sized loans and claimed to have disbursed over Rs 1,000 crore to more than 5,00,000 customers in the past year.
The company competes with KreditBee, MoneyTap, PaySense, Navi, and Fibe, among others.
Vivifi said the company has been profitable since its inception.
In the financial year through March 2023, the company reported a revenue of Rs 166 crore, with a profit after tax of around Rs 16 crore. It expects to nearly double its revenues this fiscal while aiming to disburse over Rs 3,000 crore in loans.