Fusion Microfinance, an India-based micro lending platform, has reportedly raised INR 500 Crore ($70.6m) in its latest funding round.
Commitments to the round came from private equity firms Warburg Pincus and Creation Investments, according to a report from India Infoline.
Having closed the round, the FinTech hopes to expand its distribution network across India, deepen its technology capabilities and increase its presence in the market.
The FinTech, which was founded in 2010, offers small loans between INR 12,000 ($129) and INR 50,000 ($706) on one- and two-year terms to consumers in India.
“Fusion has been amongst the faster growing companies in the sector over the last few years and is committed to maintain a steady and sustainable pace at a much larger scale in the next 3-5 years,” Fusion Microfinance CEO and founder Devesh Sachdev told India Infoline. “Building forth on a strong operating platform and strategic initiatives, we are well placed to become a valued company in the financial inclusion space.”
India’s marketplace lending space has received a lot of support from investors since 2014, FinTech Global data shows. Of the $16.6bn invested into Indian FinTech, 12.5% of this has gone to companies building lending solutions. While this is a small percentage, it is the country’s second largest FinTech segment, falling behind the payments and remittance space which has received 70.9% of funding.
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