[Funding alert] AutoMony raises $3M in Series A led by Asha Impact and Sundaram Finance
Rishab Bafna, Co-founder and MD at AutoMony, said in a statement that the startup plans to use the funds to expand in new geographies and strengthen its technology platform.
AutoMony, a Mumbai-based non-banking financial company (NBFC) has raised its Series A round of Rs 20 crore ($3 million) from Asha Impact, Sundaram Finance and other HNIs.
Rishab Bafna, Co-founder and MD at AutoMony, said in a statement that the company plans to use the funds to expand in new geographies and strengthen its technology platform.
AutoMony aims to increase its assets under management from Rs 70 crore to over Rs 500 crore in the next two years, the statement added.
Vikram Gandhi, Co-Founder at Asha Impact, said,
“With strong policy tailwinds of BS VI regulations and an awaited scrappage policy, there is a growing market for used commercial vehicles to boost last-mile connectivity in India. Given AutoMony’s deep dealership networks and scalable tech-enabled model, we believe AutoMony is well-placed to provide first-time financing to small operators and drivers with inadequate credit histories."
The company is primarily engaged in used and new vehicle financing, including commercial vehicles, multi-utility vehicles and passenger vehicles.
AutoMony was founded in May 2018 by Rishab Bafna and Shirish Godbole. Rishab, a second-time entrepreneur, has over five decades of family experience running automotive dealerships in Western India. With a background in computer science and an MBA in Entrepreneurship from Babson University, Rishab also brings retail and investment banking experience due to his prior stints at Barclays and New Delta Capital. Shirish Godbole is a financial services veteran who spent over 25 years in BFSI, with leadership positions at Morgan Stanley and Goldman Sachs.
The company aims to fulfil the entrepreneurial ambitions of first-time truck owners and small-fleet operators by financing the purchase of used and new commercial or passenger vehicles. AutoMony has disbursed over 1500 loans across its 15 branches in Maharashtra and Gujarat.
Founded by Vikram Gandhi and Pramod Bhasin in 2014, Asha Impact’s previous NBFC investments include affordable housing financier, Vastu Housing Finance, and education finance company, Varthana.
(Edited by Kanishk Singh)