Fintech startup Avanti Finance raises $14.2 Mn in Series B round

Bengaluru-based NBFC Avanti Finance has raised $14.2 million (Rs 120 crore) in its Series B round from Dia Vikas Capital,  existing investors IDH Farmfit Fund, NRJN Family Trust, Rabo Partnerships and select HNIs. The company’s early investors include The Bill & Melinda Gates Foundation, Oiko Credit & Nomura.

Previously, Avanti Finance had raised $24 million in a Series B funding round in April last year. With the current funding, the total amount raised to date stands at around $80 million.

The proceeds will be used to increase its loan book, further strengthen the capabilities of a deep tech platform for ongoing innovation of frictionless credit for our customers, and augment its channels in both rural & urban segments.

Founded by Rahul Gupta, Avanti Finance offers small-ticket loans primarily for income generation, and working capital to micro-enterprises and has made an encouraging foray in the urban gig worker segment.  The company has developed a diversified, asset-light, and unique distribution network of curated partners consisting of smaller financial institutions, tech players, and fintech partners.

That collectively originate and serve its customers at over 700 branches spread across 27 states , and over 430 districts. It is a  leader in co-lending for the microfinance segment and has partnered with reputed financial institutions for the same which makes it both scalable and capital-efficient. 

Avanti claims to have served 900,000 low-income households with an AUM of Rs 1,640 crore. 90% of its borrowers are women served via an assisted technology model.