In less than two weeks, the Ahmedabad-based Lendingkart Finances, a digital lending arm of Lendingkart Group has raised Rs 30 crore in non-convertible debentures (NCDs) from a Dutch development bank (Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden 0r NV FMO.
The latest proceeds of debt funds will be deployed towards growing the loan book and expanding the reach of Lendingkart Finance across SME industries, reports Mint.
Founded in 2014 by Harshvardhan Lunia and Mukul Sachan, Lendingkart deals with the loans for small and medium enterprises from its own books. The company provides collateral-free working capital loans ranging from Rs 1 lakh to Rs 40 lakh to small business.
The company claims to have facilitated a disbursement of more than 20,000 loans across more than 850 cities in India, which counts more than 13,000 SMEs across 23 sectors.
With the latest round, the total debt raised by the company to date has grown to Rs 408 crore—largely from non-banking financial companies (NBFCs) such as Aditya Birla Financial Services, IFMR Capital, and Mannapuram Finance.
Last month, the NBFC firm raised Rs 25 crore in debt from State Bank of India (SBI).
Prior to that, it had raised Rs 162 crore between August and September this year in multiple tranches from IFMR Capital, Capital First, Tata Capital Financial Services (TCFSl) and Manappuram Finance.
Apart from SBI, Ahmedabad-based digital lending platform Lendingkart onboarded two private sector banks—Kotak Mahindra Bank and Yes Bank as lenders.
In October, Lendingkart announced its partnership with TransUnion CIBIL, one of India’s leading credit information companies. Following the tie-up, self-employed professionals and small business enterprises will now be able to access loans offered by Lendingkart Finance on the TransUnion marketplace platform.