Advent International said the investment company along with its peer Multiples Private Equity entered into a definitive agreement with Financial services Svatantra Microfin for an investment of $230 million, on Monday.
Advent said the deal marks the largest investment by private equity investors in the microfinance sector in India.
Ananya Birla-backed Svatantra Microfin completed the acquisition of Navi Group’s subsidiary Chaitanya India Fin Credit for a value of ₹1,479 Crore ($178.4 million).
Svatantra, which began operations in 2013, offers financial and non-financial solutions to women entrepreneurs and operates a technology-driven microfinance organization.
The investment deal is subject to statutory and regulatory approvals, including the approval of the Reserve Bank of India (RBI) and Competition Commission of India (CCI).
“We look forward to partnering with the Svatantra team in its journey of expanding products, stepping-up technology and enhancing analytics to widen the reach of its transformational impact,” said Renuka Ramnath, CEO of Multiples.
In early 2023, Multiples with its co-investors invested ₹1200 crore in Tube Investments (TI) clean mobility, owned by Murugappa Group.
In February, Advent made an investment in Skala Cosméticos (Skala), the investment comes from Advent’s $2 billion managed funds dedicated to investments in Latin America, LAPEF VII.
Founded in 1984, Advent International is a global private equity investor firm, headquartered in Boston, Massachusetts.
At the point of conversion, $1 = ₹82.91
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