In a significant boost to its growth journey, Mahaveer Finance, a Chennai-based non-banking financial company (NBFC), has raised ₹200 crore in its first equity venture round. The round was led by Elevation Capital, with additional participation from Banyan Tree Finance and First Bridge Capital.

A) Strategic Funding to Drive Growth

This funding marks Mahaveer Finance’s first institutional equity raise, aimed at strengthening its governance, enhancing operational efficiency, and supporting its ambitious expansion plans. The company’s CFO, Praveen Dugar, stated that the funds will be used to reinforce the tech stack and improve customer experience.

Previously, Mahaveer had raised ₹75 crore in two rounds from Banyan Tree and First Bridge Capital.

B) Aggressive Expansion Roadmap

With a strong foothold in vehicle financing for underserved segments, Mahaveer Finance plans to diversify into new secured lending verticals, including Loan Against Property (LAP).

Key targets:

• Expand the loan book from the current ₹1,000 crore to ₹5,000 crore AUM in the next 2–3 years.

• Scale up monthly disbursals to ₹100 crore, from the current ₹75–80 crore.

• Grow its branch network from 80 to over 100 branches by FY25-end.

C) Operating Presence & Lending Strategy

Mahaveer Finance primarily serves commercial vehicle users and micro businesses. It offers business loans with average ticket sizes of ₹10–15 lakh. The company operates across Tamil Nadu, Andhra Pradesh, Telangana, and Karnataka.

It partners with leading institutions such as:

• State Bank of India

• HDFC Bank

• AU Small Finance Bank

D) FY24 Financial Performance

• Total Revenue: ₹136 crore

• Net Profit: ₹16 crore

• Monthly Disbursement: ₹75–80 crore

With this funding, Mahaveer Finance is poised for rapid scale and aims to transition from a regional NBFC to a dominant player in South India's secured lending space.

UnlistedZone Take:

Mahaveer Finance’s strategic equity raise signals strong institutional confidence in its business model and growth path. With a sharp focus on secured lending, regional expansion, and tech-driven efficiency, the company is well-positioned for long-term value creation. As it continues scaling operations and diversifying its product suite, it will be a key unlisted player to track in India's NBFC landscape.