Total amount raised
$189.5 Millions
Latest funding date
Location
Neogrowth has successfully raised funds through multiple rounds, with the latest being a Debt Financing round in January 2023. The company is backed by 16 investors, including MicroVest and FMO.
Keep reading to explore the intricacies of Neogrowth's fundraising journey and the investors supporting this financial platform.
What Is Neogrowth?
Neogrowth, founded in 2011 by Dhruv Khaitan and Piyush Khaitan, is a non-banking financial company based in Mumbai, Maharashtra, India. The company specializes in providing short-term business loans to merchants, particularly small- and medium-sized retail companies.
Operating in the business development, finance, and financial services industries, Neogrowth supports various sectors, including apparel, consumer durables, and restaurants. The company employs between 501 and 1000 people, focusing on meeting the financial needs of small businesses to help them achieve their larger goals.
How Much Funding Has Neogrowth Raised?
- Debt Financing
- Amount Raised: ₹810M
- Date: January 2023
- Lead Investors: MicroVest
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the financial needs of MSMEs and expand lending capabilities.
- Series D
- Amount Raised: ₹3B
- Date: December 2022
- Lead Investors: FMO
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To accelerate the growth of MSMEs and facilitate financial inclusion.
- Debt Financing
- Amount Raised: $20M
- Date: November 2022
- Lead Investors: U.S. International Development Finance Corp
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To extend financing to small businesses and obtain growth capital.
- Debt Financing
- Amount Raised: $15M
- Date: May 2022
- Lead Investors: FMO
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the financial services and growth initiatives aimed at MSMEs.
- Debt Financing
- Amount Raised: $17M
- Date: September 2019
- Lead Investors: Proparco
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand lending capabilities and support small businesses.
- Venture Round
- Amount Raised: ₹3B
- Date: January 2018
- Lead Investors: LeapFrog Investments
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance financial inclusion and support underserved small businesses.
- Series C
- Amount Raised: $35M
- Date: July 2016
- Lead Investors: IIFL Finance, Quona Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale operations and expand the customer base.
- Series C
- Amount Raised: $7M
- Date: August 2015
- Lead Investors: Khosla Impact
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the growth and integration of MSMEs into the mainstream financing ecosystem.
- Series B
- Amount Raised: Not publicly disclosed
- Date: April 2015
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand lending capabilities and support small businesses.
- Debt Financing
- Amount Raised: ₹30M
- Date: September 2014
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the financial needs of MSMEs and expand lending capabilities.
Total Amount Raised: $94M + ₹6.84B
Current Valuation: Not publicly disclosed
Key Investors
- MicroVest Capital Management
- Details: MicroVest is a US-based global investment firm specializing in allocating private debt capital to responsible microfinance and SME financial institutions in emerging and frontier markets. Founded in 2003, MicroVest has disbursed over $1 billion to more than 200 financial institutions.
- Investment Focus Areas: Microfinance institutions, SMEs, financial inclusion.
- Notable Investments: NeoGrowth, various microfinance institutions, SME financial institutions.
- FMO
- Details: FMO is the Dutch entrepreneurial development bank that supports sustainable private sector growth in developing countries. It focuses on sectors like financial institutions, energy, and agribusiness.
- Investment Focus Areas: Financial institutions, energy, agribusiness.
- Notable Investments: Equity Bank, NMB Bank, Access Bank.
- Omidyar Network
- Details: Omidyar Network is a philanthropic investment firm established by eBay founder Pierre Omidyar, focusing on social impact investments. The firm invests in both for-profit companies and non-profit organizations.
- Investment Focus Areas: Digital identity, education, financial inclusion, governance.
- Notable Investments: d.light, Bridge International Academies, Ruma.
- Lightrock
- Details: Lightrock is a global private equity firm investing in businesses that address the world's most pressing challenges. The firm focuses on sustainable businesses in sectors like healthcare, education, and financial services.
- Investment Focus Areas: Healthcare, education, financial services.
- Notable Investments: PharmEasy, Byju's, Dr. Consulta.
- Khosla Impact
- Details: Khosla Impact is a venture capital firm that invests in early-stage companies with a focus on social impact. The firm targets sectors like financial services, healthcare, and education.
- Investment Focus Areas: Financial services, healthcare, education.
- Notable Investments: Driptech, Embrace Innovations, Varthana.
What's Next for Neogrowth?
NeoGrowth stands at the cusp of significant opportunities, driven by its recent $10 million funding from MicroVest. This capital injection will enable the company to expand its financial services to more MSMEs, enhancing their technology infrastructure and potentially exploring new markets. With a customer base of over 150,000 and more than $1 billion in loans disbursed, the potential for growth is substantial.
Future fundraising opportunities appear promising, given NeoGrowth's successful track record and strong backing from multiple investors. The focus on digital payments and financial inclusion aligns well with current industry trends, making NeoGrowth an attractive target for further investments. However, the company must navigate challenges such as competition from other fintech firms, regulatory changes, and the inherent risks of lending to small businesses.
Use Clay to Get Funding Data
Sales professionals, leverage Clay’s platform to access comprehensive fundraising data on companies like Neogrowth and gather other critical business insights. Sign up for free to start transforming your sales strategy today.
