Lender to SMEs NeoGrowth raises Rs.85-Cr from FMO, LeapFrog

Mumbai-headquartered non-banking financial company (NBFC) NeoGrowth , a lender focused on small businesses, has raised INR 85-Cr from the Dutch development finance institution FMO and existing investor LeapFrog Investments. The transaction was structured as approximately 70% equity and balance, debt.Founded by Arun Nayyar, NeoGrowth provides credit primarily to small, offline businesses, including retailers, restaurants, and cafes. It currently maintains assets under management of approximately INR 2,000-Cr. The firm plans to deploy the entire capital raised towards incremental loan disbursements to expand its loan book.