Kinara Capital, a small business lender from Bengaluru, announced that it got $100 million (or Rs 74 crore) from IndusInd bank as part of a debt and equity round worth Rs.100 crores.
The money was secured with 100% guarantee given by the US International Development Finance Corporation (DFC). The equity contribution will come from the existing investors of Kinara Capital i.e. Michael and Susan Dell Foundation, GAWA Capital, Gaja Capital, and Patamar Capital. Kinara Capital said in a statement, “This investment will be utilised by Kinara Capital towards the expansion of MSME financial inclusion across manufacturing, trading, and services sector in India.”
The DFC is a part of the US Federal Government and will be backing IndusInd Bank in the deal. Kinara Capital also said in their statement, “This three-way partnership between Kinara Capital, IndusInd Bank and DFC unites the organisations shared goals to promote enterpreneurship, financial inclusion and job creation.”
