Vistaar Finance has raised $50 million investment from the International Development Finance Corporation (IDFC), the US government’s development finance institution, to speed up financing in the MSME Sector.
Vistaar has more than 40,000 customers. Its average ticket size is about Rs 10 lakh and it covers business and housing loans. Vistaar Finance is a full range Financial Services provider to the Small Business segment focused on rural and semi-urban markets.
The fresh round of funding will enable it to increase its secured MSME lending portfolio, Avijit Saha, the chief executive of Vistaar Financials said in a statement on Wednesday. The loan will accelerate access to capital for lending to small women-owned and -led enterprises, said James Polan, vice president of DFC’s office of development credit.
The fund finances solutions and invest across sectors including energy, healthcare, critical infrastructure, and technology.
Bengaluru-based Vistaar Finance, founded by Brahmanand Hegde and Ramakrishna Nishtala in 2010, has so far funded over 2 lakh small businesses across 12 states since inception and has a loan book of Rs 3,100 crore. In May, the company raised $40 million in equity from the global private equity major Warburg Pincus.
With the May 2023 equity investment, Warburg now holds a controlling stake in Vistaar.
