A financial institution with a focus on MSMEs, Seeds Fincap, has raised Rs 50 crore ($6 million) from Lok Capital as part of its Series A1 round, with the first tranche of Rs 32 crore now closed.
According to a press release from Seeds Fincap, the company will use the investment as growth capital to accelerate expansion in both current and new geographic areas.
Subhash Acharya and Avishek Sarkar founded Seeds Fincap, which provides specialized products with a focus on risk management and technology leveraging to assist small businesses with their financial needs.
Through a network of 72 branches, the business is present in six states. Seeds Fincap claims to have facilitated over 40,000 disbursements totaling Rs 340 crore with assets under management (AUM) of Rs 212 crore.
Over 40 investments and 30 exits have been made, according to Lok Capital, which has managed four funds so far. It makes investments in agritech, climate tech, health tech, and financial services. After investing in MoneyView, Aquaconnect, and SuperBottoms, Lok Capital IV has now made its fourth investment in Seeds Fincap.
