NeoGrowth, a fintech startup has raised over $35 million (about 225 crore) of equity from India Infoline (IIFL) Asset Management
and existing investors, including the Accion Frontier Inclusion Fund, managed by Quona Capital.
Reports suggest that a significant portion of the equity was raised in the current round and other existing investors including
Omidyar Network, Aspada Investments and Khosla Impact also participated in the funding, IIFL said.
NeoGrowth suggests that they will use the money collected to assist retailers, including and especially qualified borrowers
with little or no credit history, access credit in the country. Implementing a data and technology-driven approach, NeoGrowth provides small and mid sized retail enterprise with flexible, innovative loan products that are secured against retailers’ future
debit and credit card sales. Dhruv Khaitan, Founder and Chairman of NeoGrowth said that their startup aims to assist the retailers by providing assistance with expansion, renovation, one time purchases and large seasonal inventory purchases. He also suggest
that the additional investment made in the company will be used to purchase technology and infrastructure.
NeoGrowth will provide borrowers with financial technology and flexible repayment terms. Data suggests that more than three
in four NeoGrowth customers return for a new loan. NeoGrowth offers hassle free loans to small businesses and provides funding for retailers and online sellers in India. They wish to focus financing firms that sell apparel, durable consumer goods and electronic
items.
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