Recognising the potential of microfinance institutions in India, Aviator Emerging Market Fund has invested USD 3.1 million (approx Rs 24 crores) in Midland Microfin Ltd, a Jalandhar, Punjab based company that provides funding towards financial and social empowerment of women by way of business loans.
Aviator Emerging Market Fund operates under a license issued by the Mauritius Financial Services Commission. It is also registered with Securities and Exchange Board of India (SEBI) as a foreign portfolio investor.
The fund has a clear focus on the financial services sector, particularly NBFCs in India. Aviator Emerging Market fund has invested into Midland Microfin Limited with a combination of NCDs & ECB.
"Microlending is small, but lucrative, considering the fact that almost half the Indian population is financially excluded. Microlenders provide the essential financial services of last-mile lending to the bottom of the pyramid where large banks hesitate. With Midland, we have identified a great company doing the noble work of empowering women by offering them business loans," said Ashish Bhandari, Investment Advisor at Aviator EMF.
Midland Microfin Limited is the first Punjab based Microfinance Institution (MFI) having its head office at Jalandhar and is working towards financial & social empowerment of women by way of extending small business loans.
"This investment by Aviator EMF, a Mauritius-based company, will help us further our lending capacity and add more branches in other states. We're grateful for the trust they have shown in our business model, and our mission to be the choice of small business lender to everyone will be furthered," said Amitesh Kumar, CFO of Midland Microfin Ltd.
At present Midland Microfin Limited have a network of 197 branches, which is spread out in seven States and one Union Territory viz. Punjab, Haryana, Rajasthan, Uttar Pradesh, Bihar, Himachal Pradesh, Jharkhand and Chandigarh. Midland Microfin Ltd is a certified 'Great Place To Work' orgsation.
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( With inputs from ANI )