SMEpost

Mumbai based Niyogin Fintech raises $36m

Niyogin Fintech Limited  (earlier known as M3 Global Finance Limited) announced the intention to raise upto Rs 235 crore ($36M) by preferential issue of shares to a group of marquee investors. Equirus Capital acted as the sole financial advisor to the Company for the transaction.

Niyogin Fintech is a Mumbai based new age technology led NBFC which is engaged in loan disbursement and investments. Niyogin Fintech is a Mumbai based new age technology led NBFC which is engaged in loan disbursement and investments. is a Mumbai based new age technology led NBFC which is engaged in loan disbursement and investments. The current promoters had acquired the Company late last year and post that have made sweeping changes to the Company including:

Infusion of over Rs 400 million through issue of convertible securities to Promoters and non promoters

Revamping the board of directors and management team by induction of senior managers from leading financial institutions

Entering into partnerships with technology providers for a robust platform

Integrating with a pan-India network of partners for distribution and monitoring of credit

Referring to the fund raising, Amit Rajpal – Chairman of the Company re-iterated that Niyogin is being retooled as a new age technology based NBFC which will leverage on technology for reaching out to relatively less penetrated parts of the country and will focus on SME/ MSME segments which remain underserved in terms of availability of credit and a range of other financial products.

Key Transaction Highlights:

  1. The proposed preferential issue witnessed demand from marquee investors including Ward Ferry, Lucky Investment Managers, Sabre Capital, Alchemy Capital and Alchemy India Long Term Fund amongst others.
  2. The transaction is proposed to be priced at a significant premium to the last round of fund raising as well as the prevailing market price of the Company.
  3. Once completed, the shares issued under the proposed transaction will constitute 50% of the fully diluted capital of the Company and will have a well diversified shareholding with promoters holding less than 40% of the Company on a fully diluted basis.
  4. Equirus Capital acted as the sole financial advisor to the transaction.

 Source: BW Disrupt