Aviator Emerging Market Fund, focused on Indian non-banking financial companies, has led a Rs 65.8 crore ($8.8 million) infusion into publicly listed SME lender Dhanvarsha Finvest.
Mauritius-based Aviator EMF and other international players invested around Rs 48 crore while family offices and rich people infused the rest.
International players include portfolio managers Porter Collins and Vincent Daniel; Gaurav Mittal, global head of corporate development at Mastercard; and Darrick Zucco, an investor in startups and established ventures.
The fundraising has helped Dhanvarsha Finvest to increase its net worth to over Rs 160 crore.
Started in 2017 in Ahmedabad, Dhanvarsha Finvest is a diversified financial services provider that offers credit solutions to India's underserved and underbanked SMEs.
Apart from loans, services include finance broking, underwriting services, and consultancy.
Promoter Wilson Holdings owns 61.36% of the company.
Nomura Singapore and Citrus Global Arbitrage Fund owned 1.86% and 0.5% of Dhanvarsha Finvest, respectively, as on March-end 2021.
As on December-end 2020, Dhanvarsha Finvest had a loan book size of Rs 100 crore and an average loan size of Rs 2 lakh.
Incorporated in January 2019, it is focused on providing funding to Indian non-banking financial companies and microlenders. The entity recently made investments in Lucknow-based Margdarshak Financial Services and Light Microfinance.
The fund has also infused capital into companies such as Aviom India Housing Finance, vehicle financier Amrit Malwa Capital, KrazyBee, and Midland Microfinance.