Jaipur-based Ess Kay Fincorp Ltd., a Non-Banking-Financial-Company (NBFC) has received an investment of INR 337Crore/ $45Million from Northwest Venture Partners, Evolvence, and TPG Group. While this is the third round of investment by TPG Growth after 2.5 years, the other two are investing for the fourth time. The three firms invested in a Series E round of funding along with promoter Rajendra Setia.
Ess Kay is an unlisted, used vehicle and SME financier. With this round of investment, it will have raised a total of INR 1,000 crore thus far from marquee investors. For this round of funding, Spark Capital is acting as an exclusive financial advisor to Ess Kay.
Last year, Ess Kay had raised $11.8 million/ INR 86 crore in debt financing from Ability AG, a Swiss asset manager. Earlier, in 2019, TPG Growth, a growth equity platform and middle-market of alternative asset firm TPG, and Norwest Venture Partners, a multi-stage growth investment firm, along with Evolvence India had led a $33 million/ INR 235 crore investment in Ess Kay. In early 2018, Norwest Venture Partners had led an INR 200 Crore/ $32 million funding round in Ess Kay. Ess Kay also counts Blacksoil Capital, Baring Private Equity Partner India Ltd, and Northern Arc Capital, among other notable names, as its key investors.
The company Ess Kay focuses on providing financing to semi-urban and rural areas across North and North-West India. The firm was founded by first-generation entrepreneur Rajendra Setia back in 1994. Ess Kay has its presence across 350 branches in seven states including Gujarat, Rajasthan, Maharashtra. Madhya Pradesh, Haryana, and Punjab. It serves over 2.25 lakh low-income customers who need financial connectivity the most.