AYE Finance raises 70 Cr from LGT IV

Delhi-based non-banking finance company AYE Finance (AYE) has closed its Series B round of funding of Rs 70 crore from LGT IV and its existing investors SAIF Partners and Accion. AYE is a provider of loans to micro and small, enterprises across India. The fundings will be used to further enhance its outreach across the country with a target loan portfolio of more than Rs 2,000 crore over the next 5 years.

Founded in 2014 by career bankers Sanjay Sharma and Vikram Jetley, It has 31 branches across 7 states and has impacted the lives of more than 250,000 people. AYE uses an innovative approach to make working capital loans available to these underserved enterprises by using a proprietary innovative underwriting methodology that has allowed AYE to enhance its portfolio to more than Rs 80 crore. The loans provided by AYE are in the range of Rs 50,000 to Rs 25 lakhs and support the working capital needs of micro enterprises across India.

Commenting on the Series B fundraising round, Sanjay Sharma, Co-Founder, AYE Finance said, “We are happy to be partnering with LGT IV for the next stage of our growth. Our existing investors, SAIF and Accion too have demonstrated continued faith in us and have contributed in the current round. LGT IV, SAIF and Accion have a proven track record of investing in quality growth companies. I look forward to our association as we take AYE Finance to its next stage of evolution to achieve our common vision of providing comprehensive financial services to small and micro enterprises to power the inclusive growth of the country.”

LGT IV is a reputed international impact investor that invests growth capital in purpose-driven companies with scalable business models. It empowers underserved people with access to affordable products, services and livelihood opportunities.