Vridhi Home Finance on Tuesday said it has raised Rs 310 crore ($36.9 million) in its Series B round of funding led by Norwest Venture Partners, with participation from its existing investor Elevation Capital.
Its funding round comes a year after it raised $18 million in its Series A funding round, led by Elevation Capital.
With the latest funding, the company aims to invest in advanced technology and expand accessible housing finance.
The company will use the funds to go deeper in states like Karnataka, Andhra Pradesh, Telangana, Rajasthan and Madhya Pradesh to tap more customers and grow its loan book and be present in more locations. The company has grown its presence to 51 branches now, up from 20 same time last year. It aims to add 40 more branches in the next 6-9 months, according to MoneyControl.
Other deals in the space include US-based private equity firm TA Associates’ investment in Vastu Housing Finance and Ummeed Housing Finance’s $70 million round in April.
Vridhi Home Finance’s funding comes amid a rise in investor interest in the financing services sector. In Q3, financial services emerged as the most funded industry, with deal value up nearly 38% from the previous quarter. Digital lending company DMI Finance led the charts with a $334-million investment from Japan’s Mitsubishi UFG Financial Group.
