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Moneyboxx raises over ₹20 crore to fund AUM growth, branch expansion
- Moneyboxx, which started operations in February 2019, currently has 30 branches across five states — Rajasthan, Punjab, Haryana, Madhya Pradesh, and Uttar Pradesh. Moneyboxx provides unsecured and secured business loans ranging from ₹70,000 to ₹7 lakh to micro and small enterprises
NEW DELHI: Moneyboxx Finance Ltd. (Moneyboxx) has raised equity capital of ₹20.77 crore by way of private placement from non-promoter investors following its ₹14.42 crore raise in December last year.
Moneyboxx is a listed non-banking finance company that provides unsecured and secured business loans to micro and small enterprises in tier-III towns and below places.
According to the company, it has strengthened its capital position with the recent fund raises and plans to use the proceeds for expanding its scale of operations and tap growth opportunities, given the huge unmet credit gap for micro enterprises in the loan segment under ₹10 lakh.
The company’s assets under management (AUM) were at ₹119 crore in March 2022, up 92% year-on-year supported by growing business at existing branches.
Moneyboxx plans to expand its current network of 30 branches across five states to 60 branches by FY23 and over 100 branches by FY24 by expanding its operations in existing states and entering new states.
It aims to build an AUM of over ₹400 crore by FY23 and over ₹1,000 crore by FY24.
Commenting on the fund raise, Deepak Aggarwal, co-founder, Moneyboxx, said, “We have built a sound business model and our portfolio remains resilient despite the challenges created by the covid-19 pandemic, reflected in our high collection efficiency and very low NPAs, attributed to our robust, tech-driven underwriting practices and strong customer connect with on-ground presence. We have built a scalable and sustainable business model in the loan segment under ₹10 lakh.”
Moneyboxx, which started operations in February 2019, currently has 30 branches across five states — Rajasthan, Punjab, Haryana, Madhya Pradesh, and Uttar Pradesh. Moneyboxx provides unsecured and secured business loans to individual borrowers (livestock, kirana, traders and micro-manufacturers) with loans ranging from ₹70,000 to ₹7 lakh.
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First Published:6 Jun 2022, 06:04 PM IST
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