Kinara Capital seeks $150-$200M funding with Gaja Capital, Dell Foundation

Kinara Capital, a Bengaluru-based fintech company, is seeking growth capital of approximately $150 million to $200 million as it aims to expand its product offerings and promote financial inclusion for small business entrepreneurs in India.

The company, which has already raised over $500 million in capital from both domestic and global investors, plans to diversify its portfolio to address the significant credit demand in the MSME sector. Kinara Capital has achieved scale and profitability over the past decade by providing collateral-free creditto MSMEs and aims to further enhance its reach in this underserved sector.

It currently operates through 125 branches across six states in India, serving MSMEs in over 100 cities. With a workforce of 1,600 employees and over 40 lending partners, Kinara Capital specializes in providing collateral-free credit for loans under INR 10 lakhs.

The company has reported profitability for eight consecutive years and aims to increase its assets under management from Rs 2,600 crore in May 2023 to Rs 6,000 crore in the coming years. In addition to its growth plans, Kinara Capital is committed to supporting women entrepreneurs through its HerVikas program and is introducing Green Finance products as part of its product diversification strategy.

Prior to founding Kinara Capital, CEO Hardika Shah had an extensive career as a management consultant with Accenture and also has a decade of experience in social entrepreneurship, acting as a mentor for various organizations and educational institutions.