Vridhi Home Finance Bags INR 310 Cr from Norwest, Others

SUMMARY

Vridhi Home Finance aims to expand in the existing market by strengthening its technology infrastructure with the fresh infusion

The startup investment approach is focused on customer centricity right risk management practices and strong distribution network, as per the company's statement

Vridhi Home Finance was launched in 2022 by Sunku Ram Naresh along with co-founders Sandeep Arora and Sunil Mehta

Bengaluru-based NBFC Vridhi Home Finance has secured INR 310 Cr (around $36.9 Mn) in a Series B funding round led by Norwest Venture Partners.

The round also saw participation from existing investors Elevation Capital and the startup’s founders to push housing finance availability in the country, as per the company’s statement.

With the fresh proceeds, Vridhi Home Finance is targeting expansion in the existing markets ensuring strong technology infrastructure.

The statement also underlined the company’s investment approach towards customer centricity, right risk management practices and strong distribution network.

The company claims to offer home loans ranging from INR 3 Lakh to INR 45 Lakh with primary focus on smaller towns with populations between 3,000 and 500,000. It further says that it aims to serve underserved markets by expanding its physical network.

Sunku Ram Naresh, founder, MD and CEO of Vridhi Home Finance, said, “By establishing an omnichannel presence and ensuring exceptional service delivery through our phygital model, we are making home ownership accessible to traditionally underserved segments. The strong backing from Norwest and continued support from Elevation Capital validates our approach of combining deep market understanding with technology-led innovation.”

Launched in 2022 by Sunku Ram Naresh and co-founders Sandeep Arora and Sunil Mehta, Vridhi Home Finance uses technology, sales, and credit tools to facilitate housing financing distribution.

Since inception, it has expanded its presence in five states with 51 branches across Karnataka, Andhra Pradesh, Rajasthan, Madhya Pradesh and Telangana. Vridhi Home Finance has Assets Under Management (AUM) of more than INR 200 Cr.

The startup raised INR 150 Cr in a Series A round of funding led by Elevation Capital in October last year. Notably, Vridhi Home Finance received its NBFC – HFC license in 2023.

The development comes at a time when the Indian fintech market is growing at a CAGR of 18% from 2022 to 2030, as per the latest Inc42 report. It is further projected to reach $2.1 Tn+ by 2030.