Lendingtech startup Moneyboxx Finance is set to raise INR 75 Cr ($9 Mn) in a strategic funding round through preferential allotment to high net-worth individuals (HNIs), family offices, and individual investors. The funding will support the startup’s expansion and business growth, nearly doubling its existing capital base for providing business loans in rural India.
Moneyboxx Finance plans to expand its branch network to over 100 by March 2024, aiming for assets under management (AUM) target of INR 700 Cr by the end of FY24. This follows the startup’s funding of INR 24 Cr in April and its equity funding goal of INR 160 Cr in FY24.
Established in 2018 by Deepak Aggarwal and Mayur Modi, Moneyboxx Finance is a listed non-banking financial company (NBFC) providing unsecured and secured credit to underserved micro-enterprises operating in Tier-III cities across seven states. The startup has already raised INR 99 Cr in the current fiscal year, reporting a net profit of INR 3.01 Cr in H1 FY24.
Competing with fintech players like AyeFinance and Vistaar, Moneyboxx aims to address the demand for business capital in underserved Indian hinterlands. The fintech space, with over 2,100 startups in India, especially the lendingtech sector, is projected to offer a market opportunity of $1.3 Tn by 2030.
In a related development, Oro Money, specializing in gold-backed loans, secured $12.5 Mn in funding last month. The e-commerce giant was considering an in-house credit marketplace with a budget of $15 Mn to $20 Mn in September.
