Ambit Finvest Secures ₹690 Crore Cash Injection from Japan’s Daiwa Securities

Ambit Finvest
Preeti Bali / 8:03 am / March 27, 2024

Indian non-banking financial company (NBFC) Ambit Finvest announced a significant financial boost on Tuesday, securing ₹690 crore in fresh funding. This capital injection comes from a blend of new and existing investors.

  • New Investment Partner Joins the Team: Leading the investment round is Japan’s Daiwa Securities Group, a longstanding collaborator with Ambit Group in other ventures. Daiwa’s contribution of ₹415 crore will grant them a minority ownership stake in Ambit Finvest.

  • Existing Shareholders Demonstrate Confidence: The remaining ₹275 crore comes from a renewed commitment from current Ambit Finvest shareholders, including the parent company. This continued support underscores their belief in the company’s future prospects.

Focus on Empowering MSMEs

The press release highlighted Ambit Finvest’s dedication to empowering micro, small, and medium-sized enterprises (MSMEs) in India. Over the past two years, the company has prioritized:

  • Providing a range of secured and unsecured business loan options.
  • Offering used vehicle loan solutions.
  • Expanding its physical branch network and technological infrastructure.

Proven Track Record of Success

Ambit Finvest’s classification as a systemically important NBFC signifies its robust financial standing. The company boasts impressive achievements, including:

  • Supporting over 68,000 MSME business owners by providing them with loan solutions.
  • Disbursing over ₹6,000 crore in loans since its inception in 2018.
  • Managing a sizeable portfolio of over ₹3,800 crore in assets under management (AUM) as of today.
  • Establishing a strong national presence across 11 states with a network of 165 branches and a team of 2,000 employees.

Looking Ahead: Growth and Strategic Partnership

Ashok Wadhwa, Ambit Group’s CEO, expressed optimism about the company’s future trajectory. He emphasized the significance of Daiwa’s investment, calling them a “long-term strategic partner” poised to propel Ambit Finvest towards a significant “growth surge.”

Strategic Investment for Daiwa

Seiji Nakata, President and CEO of Daiwa Securities Group, highlighted India’s economic potential and its importance to their investment strategy. Nakata also emphasized the existing successful collaboration with Ambit in other areas, including institutional equities and equity capital markets. He expressed confidence that the investment in Ambit Finvest would pave the way for further business expansion in India, leveraging the strong Indo-Japan economic corridor.

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