Janakalyan raises equity to drive business expansion

Kolkata: Kolkata based NBFC-MFI Janakalyan Financial Services Private Limited received support from M/s Sun Tech City Private Limited through equity infusion. Bhubaneswar based investor M/s Sun Tech City Pvt. Ltd. has picked up 12% stake with an undisclosed amount.

“The much needed equity capital raised will be used to expand our operations in new geography and will help much-needed financial access to women micro entrepreneurs for their livelihood. Capital will be used for investment in business processes, technology and human capital to improve productivity. Invest in technology solutions including analytics and cloud based process design to will help to contain operating costs and credit quality. Invest in people for technology and distribution across different verticals also will help Janakalyan to grow”, said Alok Biswas, MD & CEO of Janakalyan Financial Services Private Limited.

Biswas added, “It is a moment of great pride for Janakalyan, specially at this critical juncture when debt capital also not flowing much in mid size MFIs, since pandemic. We are extremely grateful for the strong belief shown by Mr Saroj Patnaik and M/s Sun Tech City Private Limited in our organisation through this equity participation . Having received this sort of fresh capital infusion validates the business model of MFI, which will boost and re-foster investors’ confidence back in the sector.”

Janakalyan has been supported by SIDBI Venture Capital Limited with equity support in 2019 and this is second round of investment other than promoters, Mr S K Mitra and Mr Alok Biswas.

 

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