NewsOrders & DealsOptimo Capital Secures ₹260 Crore in Series A Funding and Debt for AI-Driven MSME LendingOptimo Capital Secures ₹260 Crore in Series A Funding and Debt for AI-Driven MSME Lending
Optimo Capital, a digital Loan Against Property NBFC, has secured ₹260 crore in funding. The company raised ₹150 crore in Series A equity led by founder Prashant Pitti, with Blume Ventures and Omnivore participating, and ₹110 crore in debt from IDFC Bank and Axis Bank. Founded in 2023, Optimo aims to address India's ₹530 billion MSME credit gap. The company has built a ₹350 crore loan book in 18 months, operates in 56 cities across five states, and employs 480 people. Optimo uses AI-driven valuation tools for quick loan approvals and disbursements. The funds will be used to expand AI infrastructure, strengthen partnerships, and extend reach to tier-3 and semi-urban markets.
*this image is generated using AI for illustrative purposes only.
Optimo Capital, a Non-Banking Financial Company (NBFC) specializing in digital Loan Against Property (LAP) solutions for small businesses, has successfully raised ₹260 crore through a combination of equity and debt funding. This significant financial boost is set to fuel the company's expansion plans and strengthen its position in the MSME lending sector.
Funding Breakdown
| Funding Type | Amount (in ₹ Crore) | Source |
|---|---|---|
| Series A | 150 | Led by founder Prashant Pitti, with participation from Blume Ventures and Omnivore |
| Debt | 110 | IDFC Bank and Axis Bank |
Company Overview
Optimo Capital, founded in 2023 by EaseMyTrip co-founder Prashant Pitti, aims to address India's substantial ₹530 billion MSME credit gap. The company's target market includes 4.8 crore small-business owners who possess property but lack formal credit histories.
Key Highlights
- Rapid Growth: In just 18 months, Optimo Capital has built a ₹350 crore loan book.
- Extensive Reach: The company has established branches across 56 cities in five states.
- Employment Generation: Optimo currently employs 480 people.
- Quick Profitability: The company reports achieving profitability within three months of inception.
Innovative Approach
Optimo Capital differentiates itself through its AI-driven valuation tools, which enable:
- Approval processing within hours
- Fund disbursement in less than a week
- Significant reduction in the traditional 4-6 week lending cycle
Future Plans
The newly acquired funds will be utilized for:
- Expanding AI infrastructure
- Strengthening partnerships
- Extending reach to tier-3 and semi-urban markets
This funding round positions Optimo Capital to make significant strides in addressing the credit needs of India's MSME sector, leveraging technology to streamline the lending process and expand access to financial services for small business owners.
19
