Moneyboxx Finance raises INR 400 million via Term loans

Moneyboxx Finance Limited (Moneyboxx), a BSE-listed Non-Banking Finance Company that focuses on impact financing by providing business loans to micro entrepreneurs in Tier-III & below places, announced sanction of term loan of INR 400 million from two of its existing bankers, namely, HDFC Bank (INR 200 million) and AU Small Finance Bank (INR 200 million). The Company is supported by 32 lenders, including prominent banks like State Bank of India, HDFC Bank and Kotak Mahindra Bank and has raised over INR 9 billion debt to date. Further, BC/CLM lending partnerships with financial institutions provide funding visibility.

The recently concluded equity raise of INR 176 crore (of which INR 91 crore received in Sep'24 and the balance receivable within 18 months) will enable the addition of 43 branches to the branch network in the months of September and October 2024. The additional capital will further allow Moneyboxx to invest in technology and improve operational efficiencies, enabling it to solidify its position as a reliable financial partner for micro-entrepreneurs in underserved regions.

Moneyboxx has 148 branches as of October 10, 2024, spanning north and south India, and plans to have 156 branches across 12 states by the end of October 2024, up from 100 branches in 8 states as of March 2024, recording over 50% growth in the branch network.

Moneyboxx has led the charge of driving financial inclusion in rural India by providing business loans to micro-entrepreneurs leading to a transformational change in their lives. With cumulative disbursements of over INR 1,300 crore up till June 2024, Moneyboxx has provided loans to over 1.6 lakh borrowers (including co-borrowers), of which 58% were women and 30% new-to-credit. The company's strategic plan includes expanding its branch network to over 160 branches and achieving AUM of over INR 1,300 crore by March 2025 from INR 730 crore as of March 2024.

Commenting on the key milestone, Mr. Deepak Aggarwal, Co-founder, Moneyboxx Finance Ltd, said, "We appreciate the strong support from our lenders, which highlights their confidence in our business model and growth prospects. The increase in the debt capital will enable us to enhance our outreach and impact in rural India, providing vital financial support to micro-entrepreneurs and contributing to their economic empowerment."

Shares of Moneyboxx Finance Ltd was last trading in BSE at Rs. 259.00 as compared to the previous close of Rs. 260.00. The total number of shares traded during the day was 37509 in over 341 trades.

The stock hit an intraday high of Rs. 271.00 and intraday low of 254.20. The net turnover during the day was Rs. 9807293.00.

Source : Equity Bulls

Keywords

MoneyboxxFinance INE296Q01012 TermLoan Sanction HDFCBank AUSmallFinanceBank