Indian non-bank lender Hiranandani Financial Services Pvt Ltd said Tuesday it has raised Rs 800 crore ($91.5 million) from London-headquartered private equity firm Vitruvian Partners, marking its maiden external fundraising round.
The announcement comes weeks after VCCircle first reported that the non-bank lender was set to secure funding from Vitruvian, which would pick up a stake of about 20% in the company.
Hiranandani Financial said it will use the capital to strengthen its presence in the micro, small and medium-sized enterprise financing sector, expand its footprint across underserved tier III and tier IV markets, deepen secured lending, and invest in technology and talent.
Vitruvian, which provides growth capital and also strikes buyout deals, has previously invested in Indian fintech companies Pine Labs and Turtlemint, among others. It has also invested in logistics company Porter.
Hiranandani Financial was incorporated in 2017 and provides loans to micro and small enterprises. The company’s offerings include business loans, working capital loans, MSME loans, and commercial property loans.
The company is led by CEO and former HDFC Bank executive Uday Suvarna. Harsh Hiranandani and Neha Hiranandani, part of the founding family, are non-executive directors and sit on the company’s board.
Currently, the company operates in nine states through over 140 branches, primarily focussed in tier III and tier IV markets. The company serves more than 30,000 customers.
Its net profit for FY25 more than doubled to Rs 65.83 crore from Rs 31 crore in FY24 and Rs 23 crore the year before. Its assets under management jumped 45% to Rs 2,758 crore as on March 2025 from Rs 1,903 crore as on March 2024, the latest annual report showed. The AUM has touched Rs 3,000 crore currently.
The company’s parent, House of Hiranandani, is a leading real estate developer that operates in residential, commercial, and retail segments.