· Clix Capital marks its highest-ever quarterly fundraise since its inception
· Set to strengthen its lending portfolio and extend loans to projects that reduce CO2 emissions or projected energy demand by 20%
· To catalyze India’s journey toward becoming a net zero emission nation by 2070
New Delhi, July 31 2023: Clix Capital, a leading new-age NBFC, has signed a USD 20 million loan from Global Climate Partnership Fund (GCPF), a Luxembourg-based innovative impact investing fund managed by responsAbility Investments AG. GCPF is a public-private partnership fund that finances renewable energy and energy efficiency projects across several developing and emerging nations, both directly and indirectly. The infusion of sustainable and green funds will further fortify Clix Capital’s lending portfolio and solidify its commitment to sustainability. The funding will be earmarked for sustainable projects that help to mitigate climate change.
Further, with an exceptional YoY surge of 122%, Clix Capital records INR 12.06 billion as its highest-ever quarterly fundraise since its inception. The company’s core book AUM marked a 43% YoY growth, and profitability witnessed an astounding 534% YoY increase showcasing the company’s continued commitment to deliver excellent results.
Speaking on the announcement, Rakesh Kaul, MD and CEO of Clix Capital said, “As climate change mitigation becomes a cross-policy agenda globally, our efforts are aligned to advance sustainable and green lending. As a responsible lender, we are committed to supporting India’s green journey via credit support and assisting businesses with CO2 reporting, green lending development, and environmental and social risk management initiatives.”
“Clix Capital provides much-needed credit support to India’s MSMEs in healthcare, education, and other sectors. Coupling Clix Capital’s expertise in providing credit to unbanked businesses with our mission to promote renewable energy and energy efficiency investments, we are poised to support a transformation in India’s sustainable development landscape. Together, we hope to power eco-conscious entrepreneurs, drive innovation, and create a greener future.” said David Diaz Formidoni, Head of Financial Institution Investments, Climate Finance at responsAbility.
At present, India requires a budget of over US$10t to become a net zero-emission nation by 2070. However, only 1/4th of its green finance requirements are being met currently. This highlights the urgent need for a multi-fold increase in climate funding from various stakeholders. A competitive tax regime, cross-sector policy support, and progressive green guidelines are three key imperatives to drive green investments.