Fusion Microfinance has achieved YOY growth of 45% in FY19 in AUM with an outstanding portfolio of around INR 3350 crores as on December 2019.
Fusion Microfinance announced that its existing investors, an affiliate of Warburg Pincus LLC (“Warburg Pincus”) and Creation Investments led an additional investment round and invested Rs 500 crore in the company.
This round of investment comes at a time when the company is looking to grow its distribution network across India, integrate technology solutions across key business functions to serve customers better, and further solidify the platform to address untapped growth opportunities within the microfinance sector.
Fusion Microfinance has achieved YOY growth of 45% in FY19 in AUM with an outstanding portfolio of around INR 3350 crores as on December 2019. Fusion continues to have a well-diversified geographic portfolio with emphasis on rural customers. About 92% of Fusion’s portfolio serves rural customers and the company has a pan-India presence through 575 branches across 18 states. Fusion Microfinance was established in 2010 and is the youngest company amongst top 10 pure play microfinance companies in India.
According to Devesh Sachdev, CEO and Founder, Fusion Microfinance “We are honoured by the trust that our investors have laid on us. The follow-up investment by Warburg Pincus and Creation Investment reflects their faith in Fusion’s ability to harness Rural India’s incredible growth story. Fusion has been amongst the faster growing companies in the sector over the last few years and is committed to maintain a steady and sustainable pace at a much larger scale in the next 3-5 years. Building forth on a strong operating platform and strategic initiatives, we are well placed to become a valued company in the financial inclusion space.”
According to Narendra Ostawal, Managing Director, Warburg Pincus “Fusion Microfinance has steadily emerged as one of India’s leading microfinance companies with a well-diversified portfolio. The follow-on investment by existing investors will help expand the capital base to support Fusion’s growth plans. We continue to be impressed with the management team and look forward to supporting them in their endeavours.”