Dvara Kshetriya Gramin Financial Services Private Limited (DVARA KGFS) (formerly Pudhuaaru Financial Services Private Limited), a Chennai based financial inclusion company providing customer-centric services in rural India, raised INR 97 crores (approx. $14m) in Series E funding.
The round was led by Stakeboat Capital, with participation from existing investors LeapFrog Investment and Dvara Trust. Its other major shareholder Accion participated with additional funds in 2018.
The company intends to use the funds to acquire NBFC MFI Varam Capital, pursue its expansion into newer geographies, strengthen its presence in existing geographies and enhance its digital architecture to introduce products and services, such as affordable micro housing loan product and deepening its Micro-Enterprise loans and Jewel loans portfolio.
Dvara KGFS, an NBFC, provides access to financial services in remote rural India. It is present in Tamil Nadu, Uttarakhand, Karnataka, and Odisha, spread across 33 districts with 221 branches and more than 8,44,845 enrolled customers today.
The company has 248 branches and plans to expand an additional 76 branches in the current financial year.
Dvara KGFS is also looking to raise more than 600 Cr debt from a variety of sources including banks, NBFCs, NCDs, and ECB.