Business Standard

TPG Growth leads $42-million equity investment in Ess Kay Fincorp

Traditional underwriting methods in India exclude a majority of creditworthy individuals and small and medium enterprises

private equity, savings
Premium

Investors believe that the board of directors, which has representation from all parties, brings a balanced point of view to the table

T E Narasimhan Chennai
TPG Growth, a middle-market and growth equity platform of alternative asset firm TPG, has led a $42-million (Rs 3 billion) equity investment in Ess Kay Fincorp, a non-banking finance company.

The latter entity primarily finances income generation activity for the commercial vehicle segment and small businesses. 

Existing investors Norwest Venture Partners and Evolvence India Fund-II are investing with TPG Growth. The terms were not disclosed. Spark Capital was the only financial advisor on the transaction.

Founded in 1994 by Rajendra Setia, a first-generation entrepreneur, Ess Kay Fincorp commenced as a two-wheeler financier in Rajasthan. It is now at 250 locations across Rajasthan, Gujarat,

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Oct 31 2018 | 11:16 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers.

Register to read more on Business-Standard.com