LONDON, United Kingdom, May. 29, 2020 — Apis Growth Fund II recently completed an investment in Hero FinCorp, a leading Indian non-bank finance company (NBFC) with a diversified loan book comprised of retail, SME and corporate loans. Apis’ investment was made as part of a funding round which included the company’s existing investors and the promoters.
Hero FinCorp was founded as the lending arm of Hero MotoCorp Limited, the leading two-wheeler manufacturer in India. Hero MotoCorp has a c. US$5.5bn market cap, c. US$5bn in revenues and sells 8 million bikes per year representing a market leading position in India. Hero FinCorp has emerged as one of the leading NBFCs in India with over 2.5 million active customers and is improving financial inclusion by extending credit to underbanked communities, particularly those in rural areas, with c. 70% of retail loan customers being new to credit.
Apis was attracted to Hero FinCorp’s wide geographical footprint in India and the critical role NBFCs are increasingly playing in the Indian economy. The relationship with Hero MotoCorp provides the Company with one of the deepest distribution networks in Indian financial services with a presence in 27 states and 1,700 cities with the majority of these locations in rural and semi-rural locations. Furthermore, the NBFC sector in which Hero FinCorp operates has undergone significant transformation in recent years and now plays a significant role in the growth of the Indian financial system.
About Apis Partners LLP
Apis Partners LLP (www.apis.pe) is a private equity asset manager that supports growth stage financial services and financial infrastructure businesses in Africa and Asia by providing them with catalytic growth equity capital. Apis Partners LLP’s team is comprised of 29 professionals with specialised expertise in financial services and technology in growth markets. Apis Partners LLP is highly conscious of the developmental impact that the provision of growth capital for financial services in growth markets can achieve, and as such, financial inclusion is a core tenet of Apis Partners LLP’s approach and investment mandate.
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Contact: Gustavo Eiben