Mumbai, India – April 5, 2010: Matrix Partners India today announced that it has invested INR 100 crore as the lead investor in the funding of Bhartiya Samruddhi Finance Limited (BSFL) along with returning investors Hivos Triodos Fonds and Lok Capital, in a total transaction size of INR 118 crore. BSFL is the flagship company of the BASIX Group, promoted by Mr. Vijay Mahajan.
Commenting on the occasion Mr. Sajeev Viswanathan, Managing Director, BSFL said “This infusion of $ 26 M capital provides BSFL a very strong balance sheet thereby positioning us to leverage scale and enhance operational efficiency. This will have a direct positive impact on the cost to our customer. Matrix brings its extensive investment experience across several sectors in India and abroad, to BASIX. The long term investment horizon and in-depth understanding of the MFI sector is a perfect complement to the capital that this brings to BASIX (BSFL) and we look forward to a long and fruitful association.”
“As the pioneer of the Indian Microfinance industry, Mr. Vijay Mahajan needs no introduction and it is our privilege to partner in his vision of promoting livelihoods for India’s poor. Sajeev’s stellar leadership of BSFL makes us excited about the scale that BSFL will achieve in the coming years and the impact that it will have for India. Matrix has always believed that Microfinance companies need a broader approach beyond micro–credit and BSFL’s livelihood promotion focus is a perfect fit for us” added Avnish Bajaj, co–founder & Managing Director, Matrix India.
With this investment, Avnish Bajaj will join the Board of Directors of BSFL.
Bhartiya Samruddhi Finance Limited (BSFL) is a Livelihood Promotion Institution which was promoted by the BASIX Group in 1997. BSFL currently has operations in 15 states, where it serves over a million credit, two million insurance and half a million agri/business services customers. BSFL currently has an outstanding loan book of over INR 1,000 crore.
The BASIX Group is a conglomerate of financial and knowledge based social enterprises co-promoted by Vijay Mahajan in 1996. Over the years, the BASIX Group has promoted and supported several livelihood focused institutions such as BSFL, Krishna Bhima Samruddhi Local Area Bank (KBSLAB), BASIX Academy for Livelihood and Microfinance Practice (B-A-LAMP), BASIX Academy for Building Lifelong Employability (B-ABLE) and C-TRAN, an energy and environment advisory firm. BASIX also has a robust international consulting practice across five countries. Further information is available at www.basixindia.com
About Matrix Partners India:
Matrix Partners India is an investment firm with INR 1,500 crore under management. The firm invests in companies targeting the Indian domestic market with a sector independent investment strategy focused on generating exceptional returns. The firm invests up to INR 125 crore in a company depending on its stage of development and has invested in several companies including FIITJEE, Itzcash Card, Siesta Hospitality and Tree House. The Mauritius based fund’s investors include leading university endowments and family foundations. Matrix Partners has a global network of funds investing in the US, China and India with $2 billion under management. Further information is available at www.matrixpartners.in