The Falguni and Sanjay Nayar Family Office is the personal investment arm of KKR India head Sanjay Nayar and Nykaa founder and chief executive Falguni Nayar.
The latest round follows a capital infusion of Rs 500 crore, which the Mumbai-based fintech company had raised in 2016, a mix of debt and equity, of which Rs 400 crore was debt financing.
That round also saw Sanjay Nayar investing in the company.
According to media reports, apart from Nayar, former CIO of HDFC Bank, Anil Jaggia, and former head of operations and technology at Citibank, Vikram Sud, had also invested in the company.
“FlexiLoans.com has been found to be one of the strongest fintech technology platforms with a right mix of strategy, business partnerships and underwriting processes to capitalise on the digital lending opportunity in India, especially in the post-Covid-19 environment,” a spokesperson from the Nayar Family Office said.
Founded in 2016 by Indian School of Business alums Abhishek Kothari, Deepak Jain, Manish Lunia and Ritesh Jain, FlexiLoans said it has disbursed more than 30,000 unsecured loans worth over Rs 800 crore across more than 1,400 cities.
It plans to use the proceeds to scale up its micro SME lending and launch new lending products and enter into alliances. It is also targeting to ramp up its supply chain and co-lending verticals.
“With this strong commitment by existing investors and industry veterans, FlexiLoans.com is now poised to enter the next phase of its growth journey that we have clearly crafted on the lines of Profitability, Growth and Risk Control. We chose to accept this bid over other term sheets we had from a few institutional investors, given the long-term nature of this capital,” said Deepak Jain, co-founder of FlexiLoans.com, said.
EY acted as sole financial advisor, while Shardul Amarchand Mangaldas acted as sole legal advisors.
According to the company, the investment in FlexiLoans is also the largest by the Nayar Family Office, apart from its investment in omni-channel beauty and lifestyle retailer Nykaa.
FlexiLoans said it provides “loans at a click” to small, medium and micro-enterprises, which otherwise, find it difficult to access institutional capital due to their inadequate financial history or inability to provide collateral. FlexiLoans provides term loans, loans against point of sale, line of credit, vendor financing, as well as a host of value-added services, such as banking insurance and legal consultation, among others, underpinned by its technology platform.