The latest funding round takes the total equity and fund capital raised by DMI since 2008 to $700 million.
DMI is a diversified financial services group headquartered in Delhi. It was founded by Shivashish Chatterjee and Yuvraja C. Singh in 2008 and has businesses in corporate lending, affordable housing finance, digital consumer and MSME finance, and asset management. It currently has 500+ people across 44 offices and AUM of INR 6000+ crore.
This current round of equity capital will be used to fund balance sheet growth primarily in the digital and consumer MSME finance businesses and the housing finance business of DMI. The DMI digital and consumer MSME finance businesses are held in DMI Finance Pvt. Ltd. (“DMI Finance”) which is a RBI-licensed NBFC ND-SI. The DMI housing finance business is held in DMI Housing Finance Pvt. Ltd. (“DMI Housing”) which is a NHB-licensed HFC.
New Investment Solutions (“NIS”), a Liechtenstein asset management company founded by Takashi Sato, led the current equity round in DMI and remains the majority investor in DMI. NIS has invested $2 billion globally in equity, debt and alternative investment opportunities. Its investors include institutions, ultra-high net-worth individuals and large family offices in Japan, Asia and Europe.
Amicus Services, represented by Partner Shivi Rastogi, acted as DMI’s legal counsel on this transaction.
Shivashish Chatterjee, Co-Founder and Joint Managing Director of DMI, said: “DMI intends to be the credit partner of choice in the rapidly-growing retail and MSME credit segments. Raising $230mm of equity in a tough environment for NBFCs is meant to underscore that commitment. We are fortunate to have as supportive a partner as NIS to fuel a business which is growing 30% each month.”
Yuvraja C. Singh, Co-Founder and Joint Managing Director of DMI, said: “We entered the retail lending space 5 years ago and have had a positive experience so far. With others facing balance sheet pressure, given the lack of liquidity, we feel now is a good time to make further investments in the business and hopefully grab market share. We are fortunate to have partners who we have been working with for many years that understand the opportunity and are as excited about the future as we are. “
Takasahi Sato, Founder of NIS, said: “Our investors and we are very happy to continue to invest into India through DMI as it builds a class-leading financial services platform and contributes to financial inclusion in India. The DMI team is so incredible that they have been performing beyond our expectations since we first partnered with DMI in 2010. We trust the team to take advantage of all the growth opportunities with deep insight that India offers in financial services. They maintain a firm handle on risk and an organizational focus on transparency and ethical conduct. We have the capital and intend to support all of the long-term ambitions of DMI.”
Source: BW Disrupt