Mumbai-based MSME-focused fintech lender, FlexiLoans, has successfully raised ₹75 crore (approximately $9 million) through non-convertible debt from JM Financial. This marks the second debt round for FlexiLoans in 2024, as the company continues to scale its operations.
FlexiLoans’ board approved the issuance of 7,500 non-convertible debentures to secure the ₹75 crore. The debt comes with a coupon rate of 12.05% per annum and a tenure of 24 months. The fresh capital is set to support the company’s ongoing business operations.
This debt infusion aligns with FlexiLoans’ broader fundraising efforts, as the firm is also in the process of securing $35 million in funding from the late-stage fund Fundamentum, co-founded by Infosys veteran Nandan Nilekani.
Founded by Deepak Jain, Manish Lunia, Ritesh Jain, and Abhishek Kothari, FlexiLoans specializes in providing collateral-free loans to MSMEs. To date, the company has raised over $124 million through a combination of equity and debt. This includes a significant $90 million Series B round in June 2022 from investors such as Fasanara Capital, MAJ Invest, and Caravel Group.
FlexiLoans has disbursed over ₹7,000 crore in loans, according to its website. The company works with more than 400 partners and also lends through its NBFC, Epimoney. Loan amounts range from ₹50,000 to ₹1 crore, with a maximum tenure of 36 months.
The fintech firm has experienced rapid growth in the fiscal year ending March 2024, with collections increasing 2.4X year-on-year. FlexiLoans reported an operating revenue of ₹262 crore in FY24, up from ₹109 crore in FY23, while maintaining profitability with a ₹3 crore PAT.
FlexiLoans operates in a competitive landscape alongside other fintech firms like Lendingkart, Indifi, Incred, Oxyzo, and Aye Finance, but continues to differentiate itself through its robust growth and strategic partnerships.
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