NeoGrowth says fresh equity infusion will strengthen capital position, accelerate growth plans

NeoGrowth, an MSME-focused digital lender, has raised Rs 300 crore in a Series D equity round led by FMO, a Dutch entrepreneurial development bank, along with existing investors. Of the fresh equity capital, Rs 160 crore has been pumped in by the Dutch lender and will be used for on-lending and entering new markets.

NeoGrowth is a new-age lender that offers a wide range of products tailored to the dynamic needs of small businesses.

In an interview to CNBC-TV18, Arun Nayyar, MD & CEO of NeoGrowth said, "We are going to grow by around 20 percent this year and the next year’s growth target for us is close to 40 percent. So this fresh equity infusion is going to strengthen our overall capital position and also going to accelerate our growth plans."

Also, Madhukar Sinha, Co-Founder of India Quotient spoke about the funding environment, learnings from its first fund, and the theme for the coming year. The venture capital firm has backed 87 startups so far, including Sugar Cosmetics, Sharechat, Lendingkart, Vyapar and 91Mobiles.

Moreover, T Koshy, CEO of ONDC discussed the road ahead for the platform. ONDC has recently on boarded logistics unicorn Delhivery on its platform, which would enable sellers to leverage the startup's extensive network of over 18,000 pin codes in India. The ONDC pilot is currently live in 15 cities.