SMEcorner, a fintech SME lenders in India today announced the close of their series B raise. The company has raised a total amount of $30 million through a combination of Equity and Debt. The raise was led by Paragon Partners, which invested $ 10.5 million, the balance coming from existing investors including Quona Capital, Accion Venture Lab, Bharat Shah and few other HNI’s. The promoter Samir Bhatia has also made fresh investments in this round. SMEcorner had raised series A+ round in June 2019, which was led by Quona Capital.
The funds raised from Series B would go towards rapid business scale-up, lending partnerships and market expansion in the coming financial year. From here on, SMEcorner plans to lend INR 1000 Crores by the end of the next financial year.
Samir Bhatia, Founder and CEO, SMEcorner said “We are delighted to have an investor like Paragon Partners leading this round. The continued participation from existing investors including Quona Capital and Accion Venture Labs is testimony to their commitment and faith in the company’s prospects. The additional capital will enable us to reach over 20,000 new customers and grow our distribution in the coming year. We will continue to focus on building proprietary technology which will help us serve our customers more efficiently.”
Ganesh Rengaswamy, Co-founding Partner, Quona Capital said “SME Corner’s rapid growth and unique business model has been validated by this round of debt and equity, making them one of the strongest players with stellar liquidity amongst peers. The strength of management team, rapid penetration into micro and small business segment customers and remarkable asset quality, are cornerstones of their success. We are delighted to welcome Paragon Partners on board.”
Siddharth Parekh, Co-Founder and Senior Partner, Paragon Partners, said “SMEcorner’s high tech and touch model makes it uniquely positioned to facilitate credit to the highly underpenetrated micro and small enterprises segment. The asset-light model powered by several co-lending partnerships makes the business resilient from liquidity challenges and a highly granular loan book makes it resistant to any lumpy asset quality issues. We are excited to partner with the high-quality management team led by Samir to enhance the footprint and technology of the business.”
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