Matrix invests Rs 100 cr in microfinance firm BSFL

Matrix Partners India today said it has invested Rs 100 crore in Bhartiya Samruddhi Finance Ltd (BSFL), the flagship unit of BASIX group that is engaged in microfinance and livelihood promotion business across the country.

A joint statement by the two firms said Matrix is the lead investor in BSFL along with Hivos Triodos Fonds and Lok Capital, in a total transaction size of about Rs 118 crore.

BSFL is part of the Vijay Mahajan-promoted BASIX Group and operates in 15 states, where it serves "over a million credit, two million insurance and half a million agri/business service customers", the statement said.

Post-infusion, the promoter and employee holding in the company would be at 33 per cent, Matrix will have 18 per cent and IFC 11 per cent, while the balance would be held by other investors, BSFL Managing Director and CEO Sajeev Viswanathan said.

It said BSFL has an outstanding loan book of over Rs 1,000 crore.

"Matrix has always believed that microfinance companies need a broader approach beyond micro-credit and BSFL's livelihood promotion focus is a perfect fit for us," Matrix India co-founder and Managing Director Avnish Bajaj said.