Bhubaneshwar based Annapurna Finance secures $15 Mn from Proparco

Bhubaneshwar-based leading NBFC, Annapurna Finance has secured $15 Million in series A2 round funding from Proparco.

This is the fourth funding round by Annapurna Finance in the last 15 months, after attracting $ 30 Million from Nuveen Global Impact Fund in March 2021, and $20 Million from DEG in November 2021, and $35 Million from Encourage Capital, Accion, and existing investor Oikocredit respectively.

“The NBFC will use the funds to grow its loan book, invest in technology, expand geographically and further its vision of enabling financial inclusion at scale. With a pan India rural distribution network and a multi-product strategy, it offers micro-credit loans, home improvement, and MSME loans to individuals and small businesses,” the statement said.

“Then fundraise will further help Annapurna to strengthen its tech stack to bring in more efficient, automated, and paperless financial products to the unbanked and underbanked,” it added.

Founded in 2009 by Gobinda Chandra Pattanaik and Dibyajyoti Pattanaik, Annapurna has crossed the Rs 6,500 crore AUM milestone. It has a presence across 20 states across the country with over 980 branches.

Speaking on the funding round, Gobinda Chandra Pattanaik, Managing Director, Annapurna Finance, said, “We are thrilled to have our existing debt partner Proparco further support us and now partner with us on the equity side. Their belief in our ability to enable financial inclusion across the country and empower women has fortified our commitment to building one of India’s largest financial services companies. We continue to invest heavily in our tech capabilities and operations to further boost the financial inclusion objectives of Annapurna over the next decade and strive to take it towards our larger banking ambitions.”

Commenting on the investment in Annapurna, Diane Jegam, Regional Director – South Asia, Proparco said, “It gives us immense pleasure to back the founders, who have meticulously, thoughtfully, and consistently built Annapurna, with a strong yet nimble business model that has focused on making financial services and products available to financially excluded people especially women in rural areas of India. We are looking forward to Annapurna’s exciting journey and believe in their ability to grow profitably while also creating a significant impact.”