ImpactAlpha, May 6 – Chennai-based Dvara KGFS is an initiative of financial services company Dvara Trust that focuses on financial inclusion in rural India. It has raised a 970 million rupee ($14 million) Series E equity round led by private equity firm Stakeboat Capital with backing from prior investors LeapFrog Investments, Dvara Trust and Accion.
Since launching in 2008, the company has grown its assets under management to 7.6 billion rupees ($110 million) and supported nearly 850,000 customers through 250 branches in four states. Dvara KGFS acquired microfinance institution Varam Capital in April, which extended Dvara’s presence into two new states: Jharkhand and Chattisgarh.
The Series E round will be used to bolster the integration and tech capabilities of Varam Capital’s business and to open 76 new branches by 2020.
Dvara KGFS is also looking to raise 6 billion rupees in debt financing to support its growth.
