Source: Lok Capital.Original release not available online.
NEW DELHI, September 9, – Lok Capital LLC has invested US$ 1.5 million in Asirvad Microfinance Private Ltd. Lok’s investment will allow the company to continue to drive financial inclusion in the Tamil Nadu market and also enter other states in a phased manner. [MicroCapital: sources indicate that the investment by Lok lands it a 24 percent stake in Asirvad.]
Asirvad was founded in 2007 by a group of promoters led by Mr. S.V. Raja Vaidyanathan, an IIT and IIM alum with close to 3 decades of business/managerial experience in India. Today Asirvad serves around 75,000 borrowers and has a portfolio outstanding of over US$ 4.6 million. With a vision to empower at least one million low-income families by 2015, Asirvad is working to organize groups of committed poor women and provide innovative financial services to them in a sustainable manner that can help to eradicate poverty through viable income generation activities. Operationally, Asirvad is one of the most efficient MFIs in the Indian market and is a leader in using mobile technology and software to enhance its highly efficient operations.
Mr. S.V. Raja Vaidyanathan, Non-executive Chairman of Asirvad, welcomed the investment by Lok Capital saying “This participation will add considerable value to Asirvad. Lok’s experience in the Indian MFI space will go a long way in guiding Asirvad to adopt best in class practices in all areas of management. Both companies share a common social objective of eradicating poverty and putting smiles on the faces of millions of poor in the country.”
Mr. Venky Natarajan, Managing Director of Delhi-based Lok Advisory Services, expressed his enthusiasm for the investment in Asirvad, saying “We are very happy to have added Asirvad to our portfolio. In addition to national MFIs like Spandana, Basix and Ujjivan whom we have invested in, Lok is committed to finding and supporting high performing regional MFIs and working with their management teams to take these social enterprises to new levels of professionalism and success. Asirvad is attractive because of its proven ability to achieve superior productivity by leveraging the mobile based MIS platform.”
Asirvad is a Chennai-based MFI focused on providing innovating financial services to poor women in Tamil Nadu. It is promoted by a IIT & IIM alum with nearly 3 decades of experience and managed by a team of microfinance professionals with a strong commercial background and a social orientation.
Lok Capital LLC is a $22 million Mauritius-based venture capital fund investing in commercially-oriented microfinance institutions in India. The Lok Capital fund is advised in India by Lok Advisory Services Pvt Ltd, a New Delhi-based firm composed of management and finance professionals.
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