Aye Finance, a non-banking finance company based in Gurugram, is set to raise ₹250 crore (approximately $30 million) in a fresh funding round.
This round is led by ABC Impact, a Singapore-based impact investment fund backed by Temasek, with participation from British International Investment.
Founded and Mission
Aye Finance was founded in 2014 by Sanjay Sharma and Vikram Jetley. Since its inception, the company has focused on offering affordable loans to micro, small, and medium enterprises (MSMEs) across India.
Aye Finance’s mission is to promote financial inclusion, helping businesses that are typically overlooked by traditional financial institutions.
Company Performance
In the fiscal year 2023-24, Aye Finance reported significant growth.
The company achieved a net profit of ₹161 crore, with a 67% rise in revenue to ₹1,072 crore compared to the previous year.
This strong performance highlights the company’s growing impact in the financial services sector.
Plans for the ₹250 Crore
The newly raised ₹250 crore will be used to increase Aye Finance’s lending capabilities and expand its branch network.
The company plans to use the funds to:
- Strengthen its loan portfolio by providing more credit to underserved MSMEs.
- Expand its branch network with around 80 new branches planned for the fiscal year 2024.
These steps will help Aye Finance serve more businesses across India and reach a larger number of clients.
Future Growth
The expansion of Aye Finance’s operations is part of a broader strategy as the company prepares for an eventual public listing.
This move is aimed at solidifying its financial position and increasing its presence in the competitive fintech space.
By expanding its reach, Aye Finance continues to empower MSMEs with much-needed financial support.
