Aye Finance, a fintech firm which mainly provides unsecured small-ticket business loans to micro enterprises, has announced entering into definitive agreements for Rs 250 crore in Series G funding, led by Singapore's ABC Impact, an impact investor backed by Temasek and Temasek Trust.
The transaction marks the first investment made by ABC Impact's Fund II, Aye said in a release.
"This round also saw participation from British International Investment, the UK's development finance institution and impact investor who led Aye's Series F round of Rs 310 crore in December 2023," it said. With this round, Aye's equity raising will go up to Rs 1,250 crore.
"This capital infusion will enable us to scale our operations and enhance our ability to deliver value to our target segment of micro enterprises"' Sanjay Sharma, founder and managing director, said.
Aye, with over 478 branches across the country, is a small-ticket lender in MSME (micro, small and medium enterprises) lending landscape providing working capital loans to micro-enterprises.
Founded in 2019, ABC Impact invests in companies that drive positive change by addressing the world's most pressing challenges such as climate change, resource scarcity and deepening inequality.
A division of Singapore-based global asset management firm Temasek Trust Asset Management, the fund focuses on innovative solutions that drive financial and digital inclusion, better health and education, climate and water solutions, as well as sustainable food and agriculture.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
