April 3, 2023, Bangalore: Moneyboxx Finance Limited (Moneyboxx), a BSE-listed Non-Banking Finance Company that focuses on impact financing by providing business loans to micro entrepreneurs in Tier-III & below places, raised Equity Capital of over INR 24 crores by way of private placement from non-promoter investors. With this funding round, the Company has raised capital of INR 48.4 crores in FY23 (including warrants of INR 3.36 crores) and total capital of INR 93.5 crores since its inception.
The Company has strengthened its capital position with the recent equity fund raises and plans to use the funds for expanding its scale of operations and tap growth opportunities given the huge unmet credit gap for micro enterprises in the loan segment under INR 10 Lakhs. Company’s AUM reached INR 345 crores in March 2023, growing strongly by 185% over last year, driven by improving branch productivity and expansion. Moneyboxx doubled its branch network to 61 branches across six states in FY23 and is targeting 100 branches and AUM of INR 1,000 crores by FY24.
Commenting on the fund raise, Mr. Deepak Aggarwal, Co-founder, Moneyboxx Finance Ltd, said, “We at Moneyboxx Finance aim to provide credit to underserved micro businesses and entrepreneurs in a cost-effective and transparent manner. The equity fund raise along with growing and continuous support from our lenders will help us to further our cause of supporting the deserving micro enterprises and ensuring sustainable economic progress for them with various beyond-lending impact initiatives.”
“We have successfully scaled up our operations in the last four years and built a scalable and sustainable business model with strong portfolio quality owing to our robust, tech-driven underwriting practices and strong customer connect through on-ground presence”, he added.
