U GRO Capital Ltd. Raises Impact Funds of $5 Mn in Partnership with Swiss-based Enabling Qapital

U GRO Capital has raised funds of USD 5 million through an ECB (external commercial borrowings) transaction with the EMF Microfinance Fund AgmvK (EMF). U GRO Capital, a listed entity that operates a Fintech lending platform for MSMEs (Micro, Small and Medium Enterprises), will be leveraging the funds to extend credit to India’s underserved business sections.

EMF was founded in 2008 as an instrument to catalyse access to capital where it is needed most and to promote financial inclusion to people in developing economies. Enabling Qapital (EQ), a Swiss impact-focused investment advisory and the exclusive advisor to EMF, acted as the chief facilitator for the funding round. The transaction took four months for closure with synergistic collaboration by all parties.

Expressing happiness at the conclusion of the exercise, Shachindra Nath, Vice Chairman and Managing Director, U GRO Capital said, “We share a common vision of financial inclusion with impact funding organisations such as EQ. The partnership furthers our purpose to serve India’s underserved business segments. Impact investors are critical funding partners to enable us bridge the enormous credit gap in India’s MSME sector. We will continue to leverage our technology and credit expertise to service MSMEs across the spectrum through our multi-channel distribution model.”

Chuck Olson, Managing Partner, Enabling Qapital further elaborated, “MSME Finance is a key driver for financial inclusion, and we are excited to partner with U GRO Capital in our endeavour to move money to meaning. We are confident that U GRO will enable us to positively impact the lives of MSME borrowers. The association will help strengthen our commitment towards greater financial inclusion in India.”

Contributing to the UN Sustainable Development Goals (SDGs) that outline reducing inequality and promoting inclusive growth as key goals, the proceeds from this partnership serve as a crucial credit link for India’s MSME segment. This fuels economic elevation through boosting business, accelerating job creation and promoting equality in distribution of opportunities.

About U GRO Capital Ltd.

U GRO Capital limited is an MSME-focused lending fintech platform. U GRO Capital’s mission is to ‘Solve the Unsolved’ by providing small businesses with much-needed credit. U GRO operates with an omnichannel distribution model combining physical and digital customer journeys. The company envisions to spearhead the transition of India’s MSME lending market to the new age of on-tap financing. It uses the emerging data tripod of GST, banking and bureau coupled with sectoral analysis to solve the problem of credit for small businesses.

U GRO Capital currently has 75 branches across 9 states. It aims to expand the branch network to 100 by FY2022 and intends to reach 250,000 MSMEs in the coming 4 financial years.

About Enabling Qapital

Enabling Qapital Ltd. (EQ) is a leading Impact Investment Advisory Company dedicated to a world where investments provide a financial and social return and have a positive economic, social, and environmental impact. EQ is a certified B Corp, the gold standard for environmental and social certifications. EQ currently advises over USD 500 million in assets within the EMF Microfinance Fund AGmvK (EMF) and the Spark+ Africa Fund (in cooperation with the Clean Cooking Alliance from the UN Foundation). EQ has approximately 50 team members based in Switzerland, Ecuador, India, Kenya, Kyrgyzstan, Liechtenstein, Mexico, Philippines, Pakistan and the United States in order to better understand local markets and be able to offer access to our services globally.

TiE Hyderabad will be rolling out a $200 Mn to $300 Mn Social Impact Fund

TiE announces TSS Social Enterprise Awards

Aimed at recognizing social enterprises worldwide

TiE, Hyderabad will be rolling out a $200 Mn to $300 Mn Social Impact Fund

TiE announced TSS Social Enterprise Awards to recognize social enterprises who are creating a deep and tangible impact on society, communities, animals, nature and planet through innovative business processes and technologies while pursuing the sustainable development goals (SDGs) defined by United Nations including affordable and clean energy, agriculture, clean water and sanitation, climate change, education, healthcare, life on land, life under water, livelihoods, poverty among others.

TiE, Hyderabad in collaboration with social impact funds, country partners, development funds, and the government intends to launch a $200 million to $300 million social impact fund. As a part of this initiative, TiE has conceptualized the maiden TSS Social Enterprise Awards, and is in the process of shortlisting the first set of social enterprises to be awarded. The social impact fund shall be used to help the most suitable social enterprises scale their business, enhance their products, attract skilled talent, and access new markets. The funds will be allocated based on the merit of the social enterprise business model and ability to bring the desired social change.

The TSS Social Enterprise Awards, hosted by TiE, Hyderabad are brought forth by TiE Global, a nonprofit organization devoted to entrepreneurs in all industries. There are currently 15,000 members in 61 chapters across 14 countries.

The awards will be presented to the global winners during the TiE Sustainability Summit being held between Oct 4 and 6, 2021 through a virtual platform and attended by 25,000 Social Enterprises from 50+ Countries.

Praveen Tailam, Chairman of the TiE Global Board of Trustees said, "Social enterprises have emerged as the agents of change, and are addressing the most critical issues faced by the world – whether it is climate change or social issues, they have been solving them tirelessly through innovative technologies and processes. The TSS Social Enterprise Awards are aimed at recognizing their contribution to the planet but also support them through our mentoring ecosystem, helping them gain access to impact investors, mentors, and global markets."

The award winners will qualify to access the TiE Global network comprising of social impact investors, mentors, advisors, strategic guidance to accelerate their growth, global market expansion, connects with industry, academia, thought leaders and policy makers

Manohar Reddy, TSS Global Chair and President TiE Hyderabad said,"We are proud to have launched this initiative to recognize the thankless work by social enterprises and entrepreneurs who work towards betterment of society, build innovative technology solutions, tread on uncharted path to solve the societal problems such as healthcare, water, livelihoods, poverty, education, agriculture etc. The TSS Social Enterprise Awards winners will be the future leaders of the country in the social impact space."