Grameen Koota, an India-based microfinance institution (MFI) that is a division of Grameen Financial Services Private Limited, has raised equity capital worth INR 27.5 crore, the equivalent of over USD 5.88 million [1,2].
The funds were raised through investments from four funds: Italy’s MicroVentures SpA, Luxmbourg’s MicroVentures Investments (an affiliate of MicroVentures SpA), Belgium’s Incofin, and Aavishkaar Goodwell, an “Indian-Dutch joint venture” [3,4,5]. This is Grameen Koota’s second round of equity funding, after receiving an equity investment in 2008 of INR 9.2 crore, the equivalent at the time of over USD 2.3 million, from Aavishkaar Goodwell [6]. According to Suresh Krishna, the Managing Director of Grameen Koota, this investment will be used to increase the MFI’s number of borrowers in the Indian states of Karnataka and Maharashtra, to expand lending to the states of Andhra Pradesh, Tamil Nadu, and Madhya Pradesh, and to “invest in technology development” [1,7].
By Christopher Maggio, Research Assistant
About:
Grameen Koota
Description:
Grameen Koota is a microfinance institution (MFI) based in Bangalore, India that was founded in 1999. It is a division of Grameen Financial Services Private Limited, and began its operation with funding from Grameen Trust, a non-profit and non-government organization that supports microfinance globally through funding, training, and technical assistance. As of December 12, 2009, Grameen Koota provides credit to low-income households through 117 branches in Karnataka and Maharashtra. It is one of the first MFIs in the world to use Mifos, an open source management information system that aids in monitoring of borrowers and portfolios.
Grameen Koota does not report to the MIX Market, the microfinance information clearinghouse.
Organization’s Website:
http://www.grameenkoota.org/index.html
Just the Facts:
-Country of Incorporation: India
-Year Founded: 1999
-Legal Status: Non-Banking Financial Company
-Outstanding Loan Portfolio: USD 33.3 million (as of 12/December/09)
-Area of Operation: India
-Participant(s)/Backer(s)/Investor(s): Grameen Financial Services Private Limited, Grameen Trust, MicroVentures SpA, MicroVentures Investments, Incofin, Aavishkaar Goodwell, ACCION International
-Currency: INR
-Director: Vinatha M Reddy
Contact Information:
Address:
Grameen Koota-Micro Finance Institution,
Avalahali,
JP Nagar, 9th Phase,
Bangalore-560 062,
India
Email: info@grameenkoota.org
Phone: +91 80 28436237
Fax: +91 80 28436577
Additional Resources:
Grameen Koota on Accion.org: http://www.accion.org/Page.aspx?pid=1100
Grameen Koota Annual Report 2006-2007: http://www.grameenkoota.org/GKAnnualReport06-07.pdf
GRAMEEN FINANCIAL SERVICES PVT. LTD. Highlights, October 2008: http://www.solutionexchange-un.net.in/mf/comm_update/res-22-211108-02.pdf
Bibliography
[1] India PR Wire article entitled ‘Grameen Koota receives Over 27.5 crore in second round funding’: http://www.indiaprwire.com/pressrelease/financial-services/2009120939238.htm
[2] Grameen Koota: http://www.grameenkoota.org/
[3] MicroVentures SpA: http://www.micro-ventures.eu/
[4] Incofin: www.incofin.be/
[5] Aavishkaar Goodwell: http://www.aavishkaargoodwell.com/index.php
[6] PRESS RELEASE: Indian Microfinance Institution Grameen Koota Receives $2.3m Equity Investment from Aavishkaar Goodwell: https://www.microcapital.org/press-release-indian-microfinance-institution-grameen-koota-receives-23m-equity-investment-from-aavishkaar-goodwell/ (original press release not available online)
[7] VC Circle article entitled ‘Bangalore MFI Grameen Koota Gets Rs 27.5 Cr Venture Funding’: http://www.vccircle.com/500/news/bangalore-mfi-grameen-koota-gets-rs-275-cr-venture-funding
Source Article: India PR Wire article entitled ‘Grameen Koota receives Over 27.5 crore in second round funding’: http://www.indiaprwire.com/pressrelease/financial-services/2009120939238.htm
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