[Funding alert] Aviom India raises $8 M from Sabre Partners

Aviom India, which provides loans to low-income households, will use the fresh capital for business growth.

AVIOM India Housing Finance, a fintech startup that provides credit to low-income households, has raised $8 million in a Series C round of funding from Sabre Partners.

Founded in 2016 by Kajal Ilmi, Aviom India operates in 14 states with over 100 branches. It caters to low-income households in both rural and semi-urban areas. The startup offers home loans for construction, improvement, sanitation, and renovation besides it also provides loans against property for business requirements.

The loan ticket size ranges from Rs 50,000 to Rs 5 lakh, with an average disbursement of around Rs 3 lakh, according to a statement.

New Delhi-based Aviom also provides loans to women borrowers who do not have any formal income documentation. According to the startup, it provides livelihood to more than 18,000 women residing in rural areas through its Shakti Channel.

On the funding received, Aviom Founder Kajal Ilmi said, “We are excited to partner with such pedigreed investors and shall be using the funds to expand our footprint and grow the business further.”

The startup had a gross loan portfolio of Rs 465 crore at the end of the 2020-21 financial year and aims to take it to Rs 1,000 crore by the end of the current financial year.

According to Aviom, its digital lending platform helps in increasing operational efficiency and reducing turnaround time, ensuring effective credit decision making.

The company has raised debt financing from more than 40 lenders including public and private sector banks, global development finance institutions, and domestic FIs.

Top lenders of Aviom include Northern Arc, NHB, MAS Financials, Black Soil, IDFC First Bank, Jana small finance bank, AWater Equity, DFC, IndusInd Bank, SBI and AU small finance bank among others.

Credit to the unsecured creditors has opened a new vista for the fintech lenders in the country where the loans are provided not based on traditional documentation but through other parametres.