UGRO CAPITAL REINFORCES GLOBAL IMPACT ALLIANCE WITH FMO, SECURING ~INR 2,600 MILLION IN NCDs

RENEWED PARTNERSHIP FUELS STRATEGIC INVESTMENTS IN WOMEN EMPOWERMENT, YOUTH DEVELOPMENT, AND BRIDGING REGIONAL DISPARITIES ACROSS INDIA’S MSME SECTOR 

Mumbai, February 13, 2025: UGRO Capital, a leading DataTech NBFC focused on MSME lending, today announced its latest strategic financing collaboration with FMO, the Dutch entrepreneurial development bank. The company has successfully raised ~INR 2,600 million through Non-Convertible Debentures (NCDs), with the proceeds earmarked to drive initiatives in women empowerment, address territorial inequalities, and foster youth empowerment. The INR-denominated NCD issuance was fully subscribed by FMO, reflecting the bank’s commitment to fostering inclusive and sustainable prosperity by supporting entrepreneurs.

Following the successful December 2023 transaction, where a USD 30 million (~INR 2,490 million) unlisted NCD issuance supported largely green financing, this repeat engagement with FMO further cements UGRO Capital’s reputation as a trusted partner in impact financing. Over the past six years, UGRO Capital has extended credit to over 100,000 small businesses, significantly boosting business turnover and expanding employment across India’s MSME landscape.

The new issuance is part of UGRO Capital’s broader strategy to diversify its borrowing profile and reduce reliance on the Indian banking system, in line with regulatory guidance. The company has already received endorsement for its Impact Financing program through both equity and debt capital, having raised approximately INR 1.5 billion from Development Financial Institutions and Impact Funds in India and globally, including IFU (Denmark Govt Sovereign Fund), Asian Development Bank ( ADB), ResponsAbility, Calvert Impact Capital, Enabling Qapital, GMO, Water Equity, Microvest, IREDA etc . This diversified funding approach not only strengthens the company’s balance sheet but also enables it to generate tangible socio-economic impact.

Mr. Shachindra Nath, Founder and Managing Director of UGRO Capital, commented on the collaboration, saying, “This repeat engagement is a testament to our enduring partnership with FMO and our unwavering commitment to addressing critical social issues through financial inclusion. By channeling these funds toward women empowerment, bridging territorial disparities, and empowering youth, we are taking another significant step in our mission to catalyze growth and sustainable development for India’s underserved communities.”