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Exclusive: Kinara Capital Bags $24.4 Mn Debt Funding From Impact Investment Exchange, BlueOrchard

Exclusive: Kinara Capital Bags $24.4 Mn Debt Funding From Impact Investment Exchange, BlueOrchard
SUMMARY

While IIX infused $14.4 Mn, BlueOrchard invested $10 Mn in Kinara Capital

Earlier this year, Kinara Capital announced an INR 500 Cr fund for women entrepreneurs

Founded in 2011, the Bengaluru-based fintech startup offers business loans to MSMEs

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Digital lending startup Kinara Capital has raised $24.4 Mn in debt funding from Singapore-based Impact Investment Exchange (IIX) and BlueOrchard Microfinance Fund, as per the startup’s regulatory filings.

The Bengaluru-based non-banking financial company (NBFC) raised $14.4 Mn (INR 120.1 Cr) by allotting debentures to IIX’s Women’s Livelihood Bond 6 (WLB Asset VI) for a tenor of four years in March.

Later in April, it received $10 Mn by allotting bonds to BlueOrchard Microfinance Fund for a tenor of four years, as per the filings. The startup’s debt funding can go up further in the coming days.

It is pertinent to mention that the startup’s board recently passed a resolution allowing it to raise up to INR 1,300 Cr by allotting debentures and bonds. 

The fresh development comes on the heels of Kinara Capital announcing an INR 500 Cr fund for women entrepreneurs under its ‘HerVikas’ programme. The programme, which is now into its fifth year, aims to empower women entrepreneurs by providing them unsecured business loans, working capital loans, among others.

Kinara Capital has disbursed loans worth INR 700 Cr under the HerVikas programme till date. 

Founded in 2011 by Hardika Shah, the Bengaluru-based fintech startup offers business loans to MSMEs. Users can avail these loans through Kinara Capital’s app – myKinara app. 

The startup claims to have disbursed loans worth over INR 4,000 Cr to over 50,000 customers till date. It claims to have over 130 branches. 

In 2022, Kinara Capital raised $24 Mn in an equity funding round led by the UK-based development finance institution British International Investment. Existing investors Nuveen and Triple Jump’s AMP fund also participated in the funding round. 

Overall, Kinara Capital has raised around $153 Mn in funding till date, excluding the latest debt funding.

Recently, IIX also provided $9 Mn in debt funding to agriculture financing startup – Sammunati. 

Besides, AVIOM Housing Finance Corporation (AVIOM HFC) raised a debt funding of $10 Mn from BlueOrchard Microfinance Fund last month.

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