Aye Finance to raise up to Rs 2,500 Cr in debt

Microlending platform Aye Finance is raising up to Rs 2,500 crore in debt. The company had raised its last equity round i.e. Series E in June 2020.

The company has passed a special resolution to approve the issuance of non convertible debentures (NCDs) on a private placement up to Rs 2,500 crore for a period of one year from the date of passing resolution, regulatory filing shows.

In order to meet the financial requirement, the company is inviting their existing shareholders for subscription of these debentures.

The Gurugram-based company provides customer-centred financial services to micro and small businesses. According to the company's website, it has already disbursed a loan amount of more than Rs 4,000 crore to over 200K individuals and businesses.

Aye Finance had recently announced that it is planning to raise around $40-50 million in Series F round by March next year.

This is one the largest debt rounds to be raised by any Indian startup or NBFC in 2021. In July, BharatPe had passed a similar resolution to raise around Rs 1,300 crore or $175 million from certain investors for a period of one year.

In the list of pulling the largest debt rounds, Byju’s has raised $1.2 billion followed by Oyo’s $864 million in two tranches. ShareChat, Furlenco, Ola Electric, Global Bees and Gaana also picked up debt rounds of $225 million, $120 million, $100 million, $75 million and $40 million respectively.