New Delhi-based Satya MicroCapital has secured ₹43 crores in funding led by Japan’s Gojo & Company, along with existing investor Dia Vikas Capital Pvt. Ltd. The funds raised will be used to build a more diversified loan book and to expand its presence in existing and new geographies. This latest funding comes after a right issue of ₹11.5 crores in May 2018.
Satya MicroCapital provides quick and affordable collateral-free credit to people out of the ambit of financial institutions using credit assessment and centralized approvals. It leverages technology to effectively serve the poor to enhance financial inclusion. It was founded by Vivek Tiwari in 2016 but it only started its operations from January 2017.
The company had started its operation across five states and has now grown to 11 states with 55 branches. Assets under management for the company has already touched ₹275 crores as of July 2018, helping countless people with their financial need for their businesses. It has also crossed the milestone of one lakh active loan clients with cumulative credit disbursement of ₹300 crores.
Commenting on the latest funding, Vivek Tiwari, MD & CEO, Satya MicroCapital, said, “We take great pleasure in welcoming Gojo on board. Gojo not only holds a deep understanding of the microfinance sector in Asia but also shares our long-term vision of building a high-quality organisation serving people at the bottom of the economic pyramid. Moreover, additional funding by our existing investor Dia Vikas Capital further validates our business model and the growth we have achieved in such a short time. We are certain that the funds raised will enable us to continue growing and empowering more and more Entrepreneurs from the underserved sections of society.”
Tokyo-based Gojo & Company is a holding company for many microfinance institutions around the globe. It was founded by Sanjay Gandhi and Taejun Shin in 2014. With the latest investment in Satya MicroCapital, it has acquired a 25% stake in the company, as it looks to boost financial access for people across the globe.