Moneyboxx Finance Shares in Focus: Secured ₹400 Million Via Term Loan

On October 11, 2024, Moneyboxx Finance Limited (Moneyboxx) announced the sanctioning of a term loan of ₹400 million from two of its existing bankers: HDFC Bank (₹200 million) and AU Small Finance Bank (₹200 million). Supported by 32 lenders, including major banks like State Bank of India, HDFC Bank, and Kotak Mahindra Bank, Moneyboxx has raised over ₹ 9 billion in debt to date. Additionally, partnerships in BC/CLM lending with financial institutions enhance funding visibility.

A recent equity raise of ₹ 176 crore, with ₹ 91 crore received in September 2024 and the balance expected within 18 months, will enable the addition of 43 branches to its network in September and October 2024. This capital will also allow Moneyboxx to invest in technology and improve operational efficiencies, solidifying its role as a trusted financial partner for micro-entrepreneurs in underserved regions.

As of October 10, 2024, Moneyboxx operates 148 branches across northern and southern India, with plans to expand to 156 branches in 12 states by the end of October 2024, up from 100 branches in 8 states as of March 2024—a growth of over 50% in its network.

Moneyboxx is committed to driving financial inclusion in rural India by providing business loans to micro-entrepreneurs, fostering transformational change in their lives. With cumulative disbursements exceeding ₹1,300 crore as of June 2024, the company has served over 160,000 borrowers (including co-borrowers), of whom 58% are women and 30% are new-to-credit. The strategic plan aims to expand its branch network to over 160 branches and achieve an Assets Under Management (AUM) of over ₹1,300 crore by March 2025, up from ₹730 crore as of March 2024.

Commenting on the key milestone, Mr Deepak Aggarwal, Co-founder of Moneyboxx Finance Ltd, said, “We appreciate the strong support from our lenders, which highlights their confidence in our business model and growth prospects. The increase in the debt capital will enable us to enhance our outreach and impact in rural India, providing vital financial support to micro-entrepreneurs and contributing to their economic empowerment.” 

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