Moneyboxx Finance Limited, a BSE-listed NBFC specializing in business loans for micro-entrepreneurs in Tier-III and lower regions, has announced a significant equity fund raise of up to INR 271 crore. This funding includes INR 158 crore through preferential equity and INR 113 crore through equity warrants, involving both promoters and non-promoters.
According to the official release, up to INR 186 crore of the total equity capital is expected to be infused by August 2024. This infusion will more than double the company’s current capital base to over INR 350 crore. The additional funds will strengthen Moneyboxx Finance’s capital position, support growth plans, and allow for investments in technology and operational efficiencies. This will enhance its role as a reliable financial partner for micro-entrepreneurs in underserved regions.
Deepak Aggarwal, Co-founder of Moneyboxx Finance Ltd, expressed excitement over the strong investor support, emphasizing their confidence in the company’s business model and growth prospects. Aggarwal stated that the fresh capital will enable Moneyboxx to extend its outreach and impact in rural India, providing crucial financial support to micro-entrepreneurs and contributing to their economic empowerment.
Originally founded in 1994 as Dhanuka Commercial Private Limited and rebranded as Moneyboxx Finance Ltd in 2019, this Mumbai-based NBFC serves underserved micro-entrepreneurs in essential segments like livestock, kirana, retail traders, and micro-manufacturers by offering unsecured and secured business loans ranging from INR 1–10 lakhs.
Operating across 107 branches in eight states, including Rajasthan, Madhya Pradesh, Haryana, Punjab, Uttar Pradesh, Chhattisgarh, Bihar, and Gujarat,
claims to have disbursed over INR 1,200 crore to 1.5 lakh borrowers. Supported by 32 lenders, including major banks like State Bank of India, HDFC Bank, and Kotak Mahindra Bank, the company aims to expand to 160 branches and achieve an AUM of INR 1,400 crore by March 2025