Annapurna Finance, a Bhubaneshwar-based financial services company, announced the raising of $15 million from Proparco in Series A 2 funding on Friday. The overall size of the round has gone up to $100 million, according to the company.
According to reports, the company would use the capital to increase the size of its loan book, make technical investments, broaden its geographic reach, and advance its objective of enabling financial inclusion at scale. It provides micro credit, home renovation loans, and MSME loans to people and small businesses with a pan-India rural distribution network and a multi-product approach. The firm will work to expand its tech stack with the help of the funds raised in order to provide more efficient, automated, and paperless financial solutions to its customers.
Gobinda Chandra Pattanaik, the Managing Director at Annapurna Finance, said, "We are thrilled to have our existing debt partner Proparco now partner with us on the equity side. Their belief in our ability to enable financial inclusion across the country and empower women has fortified our commitment to build one of India's largest financial services company. We continue to invest heavily in our tech capabilities and operations to further boost the financial inclusion objectives of Annapurna over the next decade and strive to take it towards our larger banking ambitions. Diane Jegam, Regional Director of South Asia at Proparco, commented on the fundraising, saying it gave us immense pleasure to back the founders who have meticulously built Annapurna with a strong yet nimble business model that has focused on making financial services available to economically excluded people, particularly women in rural areas of India. We are looking forward to Annapurna's exciting journey and believe in their ability to grow profitably while also creating a significant impact. Annapurna Finance, established in 2009 by Gobinda Chandra Pattanaik and Dibyajyoti Pattanaik, has already reached the Rs. According to the company release, the AUM milestone is 6,500 crore. The Financial services company currently has over 980 branches in 20 states in the country.
For $150 million capital infusion, 80% of the stake is held by Abdul Latif Jameel.