GrowXCD Finance Secures Significant Funding for Expansion

GrowXCD Finance, a newly established lender supporting small businesses, has successfully raised Rs 200 crore from Blue Earth Capital and Prosus Ventures. Blue Earth Capital spearheaded the funding round with an investment of Rs 105 crore, while Prosus Ventures contributed Rs 70 crore.

Previous Funding Rounds

This marks GrowXCD’s second significant equity raise within this year. Earlier in January, the company secured Rs 50 crore from Lok Capital and UC Impower. Lok Capital, which first invested in November 2023, increased their investment by Rs 21 crore, and UC Impower added Rs 4 crore. With these investments, Lok Capital’s total stake in GrowXCD has reached approximately Rs 93 crore, positioning them as the primary shareholder.

Growth Plans and Strategic Investments

The founder of GrowXCD Finance, Arjun Muralidharan, stated that the recent capital injection will facilitate an expansive growth of their portfolio and branch network, in addition to strengthening their technology infrastructure. The funding is projected to support the company’s operations over the next 12 to 18 months.

About GrowXCD Finance

Established in 2022, GrowXCD Finance provides loans to micro, small, and marginal enterprises (MSMEs) as well as salaried workers in tier-II and tier-III towns in southern India. Currently, the company operates across 67 branches in various states including Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, and Puducherry.

Aspiring for Increased Assets Under Management

GrowXCD has set an ambitious target to elevate its assets under management (AUM) from Rs 300 crore to Rs 500 crore by March 2026. Furthermore, the company is planning to establish 40 to 50 new branches by March 2027 and is exploring potential expansion into states such as Madhya Pradesh, Maharashtra, and Uttar Pradesh.