Saarathi Finance Secures ₹475 Crore in Inaugural Funding Round
Deal News | Jun 04, 2025 | TVS Capital Funds Ltd
Saarathi Finance, a new Greenfield NBFC with a mission to support micro, small, and medium enterprises (MSMEs) in India, has successfully closed its first round of funding, raising ₹475 crore. The funding round was led by TVS Capital Funds Ltd, a prominent private equity firm. The capital raised will be utilized to enhance MSME lending across six Indian states, reflecting Saarathi Finance's commitment to empowering small businesses and supporting regional economic development. This financial backing will allow Saarathi Finance to expand its service offerings and improve access to finance for MSMEs. The involvement of TVS Capital Funds underscores its strategic focus on enabling robust growth in the Indian financial services sector.
Sectors
- Financial Services
- Private Equity
Geography
- India – The article focuses on Saarathi Finance, an Indian NBFC, and its efforts to bolster MSME lending within six Indian states.
Industry
- Financial Services – The article discusses a financial transaction involving the funding of a Non-Banking Financial Company (NBFC), which operates within the financial services sector by providing loans to micro, small, and medium enterprises (MSMEs).
- Private Equity – The involvement of TVS Capital Funds, a private equity firm, in funding Saarathi Finance highlights the role of PE in financing and growing businesses.
Financials
- ₹475 Crore – The total amount raised by Saarathi Finance in its inaugural funding round.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Saarathi Finance | Target | Company | A newly licensed Greenfield Non-Banking Financial Company (NBFC) focused on empowering MSMEs in India. |
| TVS Capital Funds Ltd. | Investor | Company | A private equity firm investing in the funding round of Saarathi Finance. |