City-based MSME-focused financial services provider Vistaar Financial Services Private Limited raised around Rs. 250 crore in an internal round of funding. The Series D funding was led by existing investor WestBridge Capital along with Elevar Equity and Omidyar Network. Saama Capital and Lok Capital are the other existing investors in the company.
WestBridge Capital invests in both public and private companies and presently manages over $1 billion. While Omidyar Network is the philanthropic investment firm established in 2004 by eBay founder Pierre Omidyar and his wife Pam, Elevar Equity is a leading global PE firm focused on markets like India, Latin America and South East Asia.
With the fresh capital infusion, the Bengaluru-based financial services start-up has raised around Rs. 475 crore till date. The company will use the fresh funds to enter into new States and also offer new products. The investment will fund the expansion of its network to over 250 branches, including in five new States across the country, to reach a projected portfolio of over Rs. 2,500 crore over the next three years. It will also invest in technology enabled credit processing and workflow management, and roll out customised financial products to cater to its target segment’s needs.
Speaking on the investment, Brahmanand Hegde, Co-Founder and CEO, Vistaar Finance said, “Having deeply understood the needs of more than 1,00,000 customers across seven States and 10 sectors over the last five years, we are well positioned to expand to newer territories and to offer a wider range of financial products that will help our customers expand their businesses quickly.”
Founded in 2010 by Brahmanand Hegde and Ramakrishna Nishtala, Vistaar caters to the needs of MSMEs in rural and small towns.
According to estimates, 30 million MSMEs in India contribute to about 45 per cent the country’s industrial production and about 22 per cent of Gross Domestic Product (GDP).
