Chennai-based non-banking financial company Samunnati Financial Intermediation & Services Pvt. Ltd has raised Rs 33 crore ($4.6 million) in debt funding from impact investment firm Symbiotics.
Samunnati raised the funding by issuing non-convertible debentures (NCDs) to two investment funds managed and advised by Geneva, Switzerland-based Symbiotics, according to a press statement.
The lender will use the funds to support organisations of farmers with small land holdings as well as agricultural enterprises by financing their working capital requirements.
Anilkumar SG, managing director and chief executive at Samunnati, said the lender’s focus on providing working capital, market linkages and advisory services to agricultural players aligns with Symbiotics' mission of providing under-served businesses with access to capital.
Incorporated in 2014, Samunnati provides loans to farmers, farmer producer organisations, community-based organisations and agricultural enterprises. The company began operations as an NBFC from 2016.
The company has presence in 14 states and has so far disbursed over Rs 1,600 crore in loans, the statement said. It offers non-financial services such as market linkage, advisory and trade services through wholly owned subsidiary Samunnati Agro Solutions.
Samunnati counts Swiss impact investor responsAbility, Elevar Equity and Accel among its investors. In January 2018, Samunnati had raised Rs 150 crore ($23.5 million) in a Series C round of funding from responsAbility, Elevar and Accel.
Last month, it raised $5 million (around Rs 35 crore) in debt funding from Dutch development bank FMO.
Symbiotics is an investment company specialised in emerging, sustainable and inclusive finance. It has offices in Zurich, London, Cape Town, Mexico and Singapore.