Pune-based digital housing finance company raised $40 million in a mix of primary and secondary transactions for its Series C funding round led by Z3 Partners and Oikocredit.
British International Investment and returning investors Aavishkaar Capital, Amicus Capital, and PS Pai and family also participated in the funding. Altum Credo raised $27 million in equity and saw a partial exit by early investors at $13 million, it said in a statement. The transaction was advised by Unitus Capital.
The company will utilise the capital to grow its distribution network and expand its operational footprint. It had last raised $12 million in a Series B round led by Amicus Capital in 2021.
“As India traverses towards being a $5 trillion economy, access to affordable housing finance has immense potential to contribute towards this growth,” said Vikrant Bhagwat, MD and CEO of Altum Credo, in the statement.
He added, “This Series C fundraise is a critical milestone for the next phase of sustainable growth and will strengthen our balance sheet enabling effective leverage and sound ALM. The company will enhance its distribution network and expand operations in central and northern India.”
Founded in 2017 by Vikrant Bhagwat, Ganesh Rao, and Ashish Tewari, Altum Credo offers home loans to unserved and underserved segments, targeting first-time homeowners. It claims to have an asset under management of Rs 830 crore as of March 2024, with a majority of its customers from the economically weaker sections and low-income groups.
“Vikrant, backed by a seasoned management team, has a stellar track record in financial services and has set in place a strong playbook to scale existing operations,” said Rishi Maheshwari, Managing Partner at Z3 Partners.
“We believe the company is at an inflection point, where physical and digital infrastructure comes together to provide industry-leading operational metrics. This investment fits into our core thesis of technology being a catalyst to financially empower the underserved segment of Bharat while also building businesses in a profitable and scalable manner,” he added.
At present, Altum Credo has a presence across six states, including Maharashtra, Karnataka, Tamil Nadu, Andhra Pradesh, Telangana, and Rajasthan, and offers digital-led underwriting service delivery. It has a customer base of more than 11,000.
Edited by Suman Singh
