Moneyboxx Finance Ltd (MBFL), a BSE-listed non-banking finance corporation that delivers little-ticket loans to micro and little enterprises in Tier-II and III towns, today announced that it has raised Rs 25 crore in debt from a slew of lenders – largely non-banking finance corporations (NBFCs) and little finance banks considering the fact that January 2021.
As several as nine new lenders, like AU Small Finance Bank, Hinduja Finance, Ambit Finance, InCred Financial, UCInclusive Credit, Profectus Capital, Capri Global and other individuals, have reposed faith in Moneyboxx Finance by giving debt assistance to the corporation.
MBFL plans to use the proceeds to assistance its disbursement target in the present and upcoming monetary year. It will also use the proceeds to undertake ‘Impact Funding’, as a result benefiting the society at significant.
Earlier this fiscal, Moneyboxx Finance had raised debt of Rs 20 crore from 3 NBFCs. With this MBFL has been capable to diversify its borrowing profile by adding twelve new lenders in this fiscal year, as a result taking its total lender count to 14.
The corporation also plans to raise more than Rs 200 crore in 2021-22 with a mix of debt and equity financing.
Moneyboxx Finance AUM expects to develop at more than one hundred% in FY2021 in spite of negligible organization in H1FY21 due to Covid-19. The corporation reported a 30.6% boost in its total revenue for Q3FY21 at Rs 2.88 crore compared to Rs 2.21 crore for Q2FY21. It has also registered a whopping 109.9% development in its loan book, which stood at Rs 45.38 crore as on December 31, 2020 in comparison to a loan book of Rs 21.62 crore as on December 31, 2019.
Commenting on the debt raised, Deepak Aggarwal, Co-CEO and CFO, Moneyboxx Finance Ltd, stated, “These funds will not only assist us in ramping up operations and expansion, but also help us to amplify profitability while bringing necessary credit to people and sectors who need it the most and create economic value for them. We continue to build a large base of lending partners every month and the funding amount of each partner is likely to increase in subsequent tranches.”
“Our collection efficiency of 95 percent during the moratorium, much higher than the industry average, and over 99 percent from September onwards despite the challenges faced by restrictions owing to the pandemic demonstrates the robustness and sophistication of our collection and underwriting processes. It also establishes, beyond reasonable doubt, that building a book consisting of assets of excellent quality is possible in the unsecured lending segmen,” added Deepak.