FlexiLoans Obtains Rs 60 Crore Debt Funding from Vivriti Asset Management
- ByStartupStory | February 16, 2024
FlexiLoans, a fintech lender focusing on Micro, Small, and Medium Enterprises (MSMEs), has successfully raised Rs 60 crore through non-convertible debt from Vivriti Asset Management. This funding marks a significant milestone for the Mumbai-based company, coming after a gap of approximately 20 months.
The board of FlexiLoans has approved a special resolution to issue 6,000 non-convertible debentures (NCDs) at an issue price of Rs 1,00,000 per debenture, totaling Rs 60 crore. The company has received Rs 30 crore as part of the first tranche from Vivitri Emerging Corporate Bond Fund, a fund managed by Vivriti Asset Management.
The debt carries an interest rate of 12.9% per annum and has a tenure of 31 months. FlexiLoans intends to utilize these funds to support its ongoing business operations.
Founded by Deepak Jain, Manish Lunia, Ritesh Jain, and Abhishek Kothari, FlexiLoans offers MSMEs access to collateral-free funds through its digital lending platform. The company leverages proprietary technology and risk models to assess customers and approve loans within 48 hours.
FlexiLoans has a robust partner network, with over 120 partners, including major players like Amazon, Flipkart, BharatPe, Pine Labs, and Mswipe.
Having raised over $115 million to date through a mix of equity and debt, FlexiLoans made headlines in June 2022 when it secured $90 million in its Series B funding round from Fasanara Capital, MAJ Invest, Caravel Group chairman Harry Banga’s family office, and existing shareholders, including Sanjay Nayar.
During the fiscal year 2022-23, FlexiLoans witnessed a remarkable 110.7% surge in revenue from operations, reaching Rs 108.5 crore from Rs 51.5 crore in the previous fiscal year. The company generates revenue from interest on loans, loan processing fees, and other financial charges.
In a significant achievement, FlexiLoans also achieved profitability in FY23, reporting a profit of Rs 6.66 crore compared to a loss of Rs 10.8 crore in FY22, according to TheKredible, a startup intelligence platform.
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