In order to change from being an urban cooperative bank to a small finance bank, Shivalik Small Finance Bank (SSFB) has raised Rs 100 crore in equity capital. The corporate venture capital division of Sumitomo Mitsui Banking Corporation (SMBC), SMBC Asia Rising Fund-Japan, spearheaded the funding round. Other participants included Accel, Quona Capital, Lightspeed, and Sorin Investments, all of whom are already investors.
According to a press release from SSFB, the fund raised will be used to fortify its technology stack, increase the number of employees in key departments like product, engineering, and operations, and create scalable solutions through its quickly expanding banking-as-a-service (BaaS) offering.
Key Highlights
- Shivalik Small Finance Bank raises ₹100 crore equity, co-led by Lightspeed and Sorin Investments.
- Funds will be used to upgrade tech, expand team, and enhance banking products for underserved segments.
Savings accounts, fixed deposits, gold loans, overdrafts, and digital payments are just a few of the retail and MSME-focused products that Shivalik provides. In order to provide its expanding clientele with integrated financial solutions, it has also partnered with significant insurance companies such as Bajaj Allianz, Go Digit, Kotak Life, LIC, and New India Assurance.
"At Shivalik, we're constructing a solid digital base to cater to retail and MSME clients throughout India. Banking-as-a-service is a fundamental component of our expansion strategies, enabling a variety of use cases with cutting-edge products and simple partner integrations." Anshul Swami, managing director and CEO of Shivalik Small Finance Bank, stated, "We are confident that our technology stack, breadth of banking expertise, and dedication to partners will enable us to continue providing scalable solutions that appeal to our core audience."
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According to Shivalik, it employs about 800 people and serves over 9 lakh customers through 79 branches and 114 business correspondents (BC) outlets in 11 states as of FY24. The bank made Rs 423 crore in revenue during the most recent fiscal year and has a business portfolio worth over Rs 6000 crore.
