Indian MSME-focused non-banking finance company Clix Capital has raised Rs 220 crore ($26.3 million) in a funding round led by existing investors Apollo Global Management, Pramod Bhasin, and Anil Chawla, the firm said on Thursday.
With this equity raise, Clix Capital expects to cross Rs 10,000 crore in assets under management (AUM) in the next 18-24 months. The company’s current AUM stands at over Rs 6,000 crore, with a GNPA [gross non-performing assets] ratio of less than 2%, and has surpassed Rs 26,000 crore in total lifetime disbursements.
It was co-founded by Pramod Bhasin and Anil Chawla through the acquisition of the lending and leasing business of GE Capital in 2016.
The company also plans to utilise the funds to expand to new geographies, propelling growth in key sectors of MSMEs, education and medical facilities, and investments in advanced technology capabilities.
“India’s NBFC sector has demonstrated tremendous growth potential and has seen a significant re-rating in recent times. The MSME sector, being a critical contributor to employment generation and to India’s GDP growth, has been a strong focus area for Clix Capital,” said CM Vasudev, Chairman, Clix Capital.
According to a report by Inc 42, Clix Capital secured a debt funding of $6 million from DCB bank in April. Excluding the latest funding, Clix Capital has secured $180 million in funding to date and counts AION Capital Partners and Global Climate Partnership Fund among its backers.
Clix Capital joins other companies in the NBFC space that have recently raised funding. Avanse Financial Services Ltd, an education-focused NBFC, raised the largest funding round of around $120 million within the industry led by Abu Dhabi-based investment firm Mubadala Investment Company in March this year.
Other prominent deals within financial services include digital lending platform Fibe ($90 million), non-bank lender Ambit Finvest ($83 million), non-bank lender Northern Arc ($80 million), affordable housing finance company Ummeed Housing Finance ($76 million), NBFC Vivifi India Finance ($75 million), micro-financier Annapurna Finance ($72 million), and digital lending platform mPokket ($60 million).