Altum Credo Home Finance Pvt. Ltd has received a commitment of Rs 64 crore ($9.85 million) from impact investment firm Aavishkaar Venture Management Services and a bunch of wealthy individuals, a media report said.
The affluent individuals include PS Pai, former executive chairman of Murugappa Group, The Economic Times said.
The Pune-based housing finance company will use the funds to expand its loan book and expand operations to states across India, the report said, citing a person close to the development it didn’t name.
Altum Credo was founded in 2016 by Vikrant Bhagwat, Ganesh Rao and Ashish Tewari. It received a housing finance licence from the industry regulator National Housing Bank in 2017.
The company offers loans to people in the low and medium-income group, according to its website.
Altum Credo and Aavishkaar Venture Mangement didn’t immediately respond to email queries from VCCircle.
Founded in 2002, Aavishkaar helps entrepreneurs via equity funding, venture debt, microfinance, investment banking intermediation, consulting, research and access to global networks. It focuses on India’s rural areas and bottom-of-the-pyramid segment.
Aavishkaar had earlier invested in housing microfinance institution Swarna Pragati Housing Microfinance Pvt Ltd.
The financial services companies in which Aavishkaar has previously invested include Utkarsh Micro Finance, Suryoday Small Finance Bank, Bhartiya Samruddhi Finance and Belstar Investment and Finance.
In a recent investment, Aavishkaar had put in Rs 35 crore ($5.37 million) in Bangalore-based packaged foods startup Kottaram Agro Foods Pvt. Ltd, which makes breakfast cereals under the brand Soulfull.