Ess Kay Fincorp Ltd, a non-banking finance company, has raised ₹337 crore in a Series E funding from TPG Growth, Norwest Venture Partners and Evolvence. The company’s promoter Rajendra Setia also invested in this round.
With this investment, the firm has raised over ₹1,000 crore of external capital from marquee investors.
Akshay Tanna, Partner, TPG Growth, said “This is our third round of investment in the company in the last 2.5 years and we continue to be strong believers in Ess Kay’s business model that bridges the large credit gap that exists for un-banked and under-banked populations in India. The strength of the founder and management team has allowed the company to navigate several disruptions along its journey, creating a successful rural focused lending platform in India. We are excited to strengthen our relationship with Ess Kay and look forward to continuing to work with the team to build on Ess Kay’s long-term success”.
Spark Capital was the financial adviser to the company, Ess Kay Fincorp said in a statement.
Rajendra Setia, Managing Director of Ess Kay, said, “Over the years, we have created a niche positioning for ourselves in the rural and semi-urban markets with deep distribution across North, West and Central India, on-ground sales and collection infrastructure to cater to the underserved customer segment, strong underwriting and focus on asset quality”.
“We are grateful to our existing investors – TPG Growth, Norwest Venture Partners & Evolvence for their continued support and confidence on Ess Kay. They, along with Baring India and our 45 lending relationships, add tremendous strength to our balance sheet and growth plans, as we emerge as a leading player in the used vehicle finance and SME finance segment,” he added.