MICROCAPITAL BRIEF: Afluenta Raises $8m in Series B Equity Funding from International Finance Corporation, Elevar for Peer-to-Peer Lending in Latin America

Afluenta, an Argentina-based peer-to-peer (P2P) lending platform, recently announced it closed a series B funding round totaling USD 8 million from the International Finance Corporation (IFC), a member of the US-based World Bank Group that aims to increase economic growth in developing countries, and Elevar Equity, a “development-focused” private equity fund based in India. Afluenta will use the funding to expand its services from Argentina, Colombia, Mexico, Peru, to other parts of Latin America.

Alejandro Cosentino, the founder and CEO of Afluenta, said: “(These) Series B world class investors give us valuable resources to further develop our evolving technology, develop new products, offer much better service to our customer base and expand our reach to a whole new segments of potential customers.”

From 2012 through March 2016, Afluenta received USD 10.8 million in equity funding in three rounds from four investors, facilitated a total of USD 80 million to 244,383 persons, and generated interest income totaling USD 20 million. As of December 2014, IFC has 184 member countries that drive its policies and approve disbursements. As of the same date, IFC reported total assets of USD 84.1 billion, net income of USD 1.48 billion and return on assets of 1.8 percent. As of March 2016, Elevar manages three private equity funds with assets totaling USD 94 million invested in 24 microfinance institutions (MFIs) and other organizations primarily in India and Latin America. In 2008, Elevar stopped placing new investments in microfinance in favor of supporting other types of firms that seek to reduce poverty.

By Kevin van den Brink, Research Associate

About Afluenta

Afluenta is an Argentina-based peer-to-peer lending platform that was founded in August 2012. It received USD 10.8 million in equity funding in three rounds from founder Alejandro Cosentino, Elevar Equity, International Finance Corporation and NXTP Labs. As of March 2016, the company operates in in Argentina, Peru, Mexico and Colombia. From 2012 through March 2016, it granted a total of USD 80 million to 244,383 persons, and generated total interest income totaling USD 20 million.

About the International Finance Corporation (IFC)

The International Finance Corporation (IFC), a US-based member of the World Bank Group, offers loans, equity investments, advisory and risk mitigation services and technical assistance to private companies with the intent of alleviating poverty and promoting open and competitive markets in developing countries. As of December 2014, IFC has 184 member countries that drive its policies and approve disbursements. As of the same date, IFC reported total assets of USD 84.1 billion, net income of USD 1.48 billion and return on assets of 1.8 percent.

About Elevar Equity

Elevar Equity is headquartered in the Indian city of Bangalore and also has an office in Seattle in the US state of Washington. The organization makes investments in “development-focused” ventures. Founded in 2006, Elevar manages three private equity funds with assets totaling USD 94 million invested in 24 microfinance institutions (MFIs) and other organizations primarily in India and Latin America. In 2008, Elevar stopped placing new investments in microfinance in favor of supporting other types of firms that seek to reduce poverty.

Sources and Additional Resources

[1] Crowdfundinsider, News, “Afluenta Secures $8m During Series B Funding Round from International Finance Corporation & Elevar Equity

MicroCapital Universe Profile: Afluenta

MicroCapital Universe Profile: International Finance Corporation (IFC)

MicroCapital Universe Profile: Elevar Equity

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