mPokket, a digital lending platform, has secured debt capital worth Rs 500 crore, or roughly $60 million, from BPEA Credit, Baring Private Equity Asia’s private credit platform.
In January 2020, the business last raised $2.24 million in capital.
According to a press statement from the company, the money will be used to speed up product development in the insurance and career accelerator verticals and satisfy the expanding credit demand from mPokket’s 24 million registered users.
Under the direction of Gaurav Jalan, mPokket provides credit, insurance, and career acceleration products to underprivileged youth, including self-employed and working adults. The eight-year-old company says it has produced profit margins that have been healthy for seven years running.
mPokket reported that it has disbursed loans totaling $1.7 billion with very low default rates thus far.
Media estimates state that mPokket saw a nearly twofold increase in its operational revenue, from Rs 334 crore in FY22 to Rs 657 crore in FY23. Nevertheless, the company’s profit decreased from Rs 107.8 crore in the previous fiscal year to Rs 58.7 crore in FY23.
Established mid-market businesses can obtain growth capital from BPEA Credit. It has raised three funds in the last eleven years and invested over $1 billion in 70 portfolio companies in various industries. According to a report in the media, the fund intends to open its first India-Southeast Asia fund by the end of the year, to raise $750 million. It had previously supported the international co-working space company WeWork.
