[Funding alert] Origo raises Rs 48.5 Cr from responsAbility, Oikocredit, and IndusInd Bank
The company said the funds raised will accelerate Origo’s vision of creating a robust rural financial ecosystem by increasing its distribution in rural India.
Gurugram-based Origo, a leading commodities and rural finance company, has raised Rs 48.5 crore from Switzerland-based responsAbility Investment AG, Maanaveeya (a subsidiary of the Netherlands-based social impact investor Oikocredit), and IndusInd Bank.
Suhasini Singh, Head of Agriculture Debt for responsAbility, said,
“Food and agriculture is a target sector for responsAbility Investments. Origo aligns well with our development criteria of strengthening agriculture value chains by providing efficient post-harvest solutions and timely financing to participants across the agriculture spectrum. Our financing is intended to support Origo’s vision of providing integrated solutions to the agri-economy.”
In a statement, the company said the funds raised will accelerate Origo’s vision of creating a robust rural financial ecosystem by increasing its distribution in rural India. These funds will allow Origo to provide much-needed capital to agri-enterprises, both small and medium, an unmet need which Origo is targeting to accomplish, the firm added.
Gouri Shankar, Managing Director of Oikocredit’s Indian subsidiary Maanaveeya, said,
“Maanaveeya believes that lending to the agriculture and micro, small, and medium enterprise sectors in rural areas is one of the most effective ways of reducing rural unemployment and poverty in India. Origo’s work in this area is a good fit for Maanaveeya’s social impact mission to improve the lives of low-income people and we are happy to continue to partner with and support them.”
Founded in 2010, Origo, through Origo Commodities and Origo Finance, provides solutions for reducing post-harvest losses in the commodity supply chain, helping dairy and small enterprises in rural India obtain the required financing to support their businesses.
With 1,800 employees across 12 states, Origo has been able to support the rural ecosystem through agriculture logistics, agriculture supply chain support, and much-needed finance through last mile connectivity.
Venkatram Reddy, CEO, Origo Finance, said,
“Over the last 10 years, we have gained strength in rural India, helping agri-enterprises and also micro and small enterprises with access to much-needed financing. We cover multiple aspects of rural India including agriculture, dairy, and micro businesses. With these investments, we hope to gain further inroads and provide stronger solutions across many more locations.”
Sunoor Kaul Director, Origo Commodities, said, “Origo since inception has led impact in agriculture and now in rural micro loans in rural areas. Origo has been responsible for facilitating storage of over 23 million metric tonnes, reducing post-harvest losses by 5 percent, providing additional food security to over 1 million people, and 35 percent of the new loans going to new to credit category.”
(Edited by Athirupa Geetha Manichandar)