Jaipur-based Namdev Finvest has secured $37 million (about ₹324 crore) through a structured mix of listed non-convertible debentures and external commercial borrowings, bolstering its position in India’s non-banking financial sector and reflecting investor confidence in its long-term fundamentals.
Targeting rural and semi-urban MSMEs
The funds will be directed towards expanding the NBFC’s lending footprint across rural and semi-urban India, with focused support for micro, small and medium enterprises (MSMEs), women entrepreneurs and other underserved borrower segments that face difficulty accessing formal bank credit.
Backed by global impact and institutional investors
The round was led by FMO, the Dutch entrepreneurial development bank, and saw participation from Impact Investment Exchange, Symbiotics and Franklin Templeton Alternative Investments Fund India. The presence of development and impact-focused investors underscores growing interest in inclusive finance models that combine commercial sustainability with measurable social outcomes.
Experience and market presence
Founded in 2013, Namdev Finvest has established a strong presence in Tier-III cities and rural districts, focusing on loans to MSMEs, vehicle owners and small entrepreneurs operating largely in informal or semi-formal sectors. The firm has a history of successive fundraises to scale its operations and strengthen its balance sheet.
Planned deployment of capital
Industry observers say the fresh capital will be used to expand the loan book, deepen geographic reach and enhance risk management systems. The NBFC plans to scale in existing markets and enter new underserved districts, while developing structured loan products aligned with the cash-flow cycles of small businesses and self-employed borrowers.
Track record and sector significance
Namdev Finvest’s ability to attract repeat and new investors—after a $15 million Series B in early 2024 and prior raises in 2021–22—signals steady performance and prudent portfolio management amid a selective funding environment for NBFCs. As formal credit demand grows beyond metros, NBFCs’ localised models, quicker turnarounds and tailored products are increasingly central to India’s financial inclusion and MSME growth agenda.
