Bengaluru, July 9: Education-centric non-banking financial company (NBFC) Varthana has raised ₹159 crore in debt funding to support the expansion of its affordable private school network across India and to integrate renewable energy infrastructure into school operations.
The latest round of financing will support the company’s dual strategy of increasing access to education while embedding clean energy solutions into partner schools, improving operational efficiency and long-term resilience.
Founded in 2013 and operating across 16 Indian states and union territories, the NBFC firm provides credit and academic support to small private schools catering primarily to students from low-income backgrounds. Many of these institutions operate as trusts or societies and traditionally face challenges in accessing conventional sources of capital.
Varthana Taps Funds to Deepen Education, Energy Integration
The fresh infusion will enable the company to expand its lending outreach and enhance the education infrastructure in underserved regions. Varthana also offers student financing solutions for higher education and vocational training.
Steve Hardgrave, CEO of Varthana, noted that the new funding will support both school growth and sustainability. “The investment will strengthen our partner schools’ ability to serve their communities and support long-term energy efficiency goals,” he said.
The funding round was backed by three global impact investors: Switzerland-based BlueEarth Capital, ResponsAbility, and Franklin Templeton Alternative Investments (Franklin Templeton AIF).
Amy Wang, Head of Private Credit at BlueEarth Capital, stated, “This marks our third collaboration with Varthana. We believe in the long-term role that inclusive education plays in social and economic development.”
Nidhi Nathani, Investment Officer at ResponsAbility, added, “Our focus on financial inclusion and climate finance aligns with Varthana’s approach to combining educational access with sustainability.”
The capital by Varthana was raised through a mix of external commercial borrowing (ECB) and non-convertible debentures (NCD).
