Fusion Microfinance raises Rs 3 bn in fresh equity from Warburg, others

Fusion Microfinance is a rural MFI with a Pan-India presence through 500 branches across about 200 under-developed districts in 18 states of the country

Delhi-based Fusion Microfinance (FMPL) has raised Rs 3 billion in fresh investments from global private equity (PE) firm, Warburg Pincus and existing investor Creation Investment. Some early–stage investors like SIDBI, Incofin have exited by selling out stake in the Micro-finance Institution.

This fund raise follows an internal round that the microfinancier completed in February 2018.

Devesh Sachdev, chief executive and founder, Fusion Microfinance said Warburg will have significant minority stake with board level representation. The equity infusion along with the retained profits will help support business growth for 24 months, he said.

This also marks Warburg Pincus's first investment in the microfinance sector