MSME-focused digital lender NeoGrowth has raised debt funding from UTI Universal Wealth creator. This will be the moment obligation implantation in the Mumbai-based company in the progressing calendar year.

NeoGrowth's board has endorsed the issuance and designation of up to 4,200 non-convertible debentures (NCDs) to raise up to Rs 42 crore (approx $5 million), its administrative filings sourced from the RoC shows.

These NCDs will carry an intrigued rate of 11.7% per annum. UTI International Wealth Creator 4 is an obligation finance overseen by Mumbai-based UTI Resource Administration Company.

The debt infusion in the company has come at a time when NeoGrowth is eyeing to raise Rs 500 crore development capital through private value speculation. The firm overseen resources worth Rs 2,750 crore by the conclusion of the final monetary year, and points to near FY25 with Rs 4,000 crore AUM.

NeoGrowth, an NBFC co-founded by Dhruv Khaitan and Piyush Khaitan, offers short-term unsecured credits to MSMEs, giving sums of up to Rs 75 lakh with a residency of up to 100 months.

To date, the company has raised around $138 million through a blend of value and obligation subsidizing from financial specialists counting MicroVest,FMO,Omidyar Arrange, DFC, and others.

Neogrowth enlisted 57% development in its net income which spiked to Rs 601 crore in the monetary year finishing Walk 2024 from Rs 381 crore in FY23. In the interim, its benefit some time recently assess surged nearly 4X to Rs 95 crore in the final monetary year from Rs 24 crore in FY23.

source: entrackr.