New Delhi: Moneyboxx Finance, a non-banking financial company that offers business loans to small entrepreneurs, announced on Friday that it secured Rs 176 crore to aid its expansion strategies. The company declared the allotment of equity shares and warrants convertible to equity worth Rs 176 crore in a submission to BSE. The capital increase consists of Rs 63 crore from preferential equity issue and Rs 113 crore from equity warrants issued to promoters and non-promoters.
Moneyboxx Finance stated that they have obtained a total of Rs 91 crore, comprising of Rs 63 crore from preferential equity issue and Rs 28 crore from warrants, with the remaining Rs 85 crore from warrants to be received within 18 months. The company's net value was Rs 174 crore on June 30, 2024, increased by more than 50 per cent by August 31, 2024, and will double with the equity raise of Rs 176 crore, as reported. More than two-thirds of the funds raised have been contributed by promoters and current shareholders, indicating their trust in the business model and potential for growth.
Moneyboxx Finance stated that the company's successful fund raise has positioned it strongly to reach its goal of over INR 2,500 crore AUM by FY26, and it plans to continue raising capital in the future. Deepak Aggarwal, Co-founder of Moneyboxx Finance, stated that the new funding will help improve the company's presence and influence in rural India, offering crucial financial aid to micro-entrepreneurs and fostering their economic empowerment. Moneyboxx Finance operates in 11 states with a total of 123 branches. It serves small business owners in various sectors such as agriculture, local grocery stores, retail sellers, and small-scale manufacturers by providing both secured and unsecured loans ranging from Rs 1-10 lakh.
FIRST Business Portal addressing the potential of business capability of North East Region.
