Aspada Investment Company Invests in NeoGrowth Credit to Provide Financing that Supports Small Businesses in India

BANGALORE, March 27, 2014 /PRNewswire/ --

Aspada Investment Company, an investment company backed with a significant commitment from the Soros Economic Development Fund, has made an investment of INR 10 crore (USD $1.62 million) in Mumbai-based NeoGrowth Credit, a non-bank financial company (NBFC) that extends short-term working capital and inventory loans to small merchants in India against future credit and debit card sales.

"Small businesses are the backbone of the Indian economy, yet there are hundreds of thousands of small merchants in India that are excluded from formal credit and banking channels. Extending transparent, timely, and scalable financial offerings to this segment will help to spur business creation in a large market that has had to largely rely on informal sources of capital," said Piyush Khaitan, Co-Founder and Managing Director of NeoGrowth Credit.

"NeoGrowth brings an outstanding team and novel approach in what is a large, vastly underserved, and rapidly growing market. The credit provided by NeoGrowth will allow small firms to managing working capital, account for inventory fluctuations and seasonality, hire additional employees, and stock new merchandise. We view supporting the small business (SME) segment as a critical priority area and one that is necessary to sustain India's long term growth trajectory," said Thomas Hyland, Partner of Aspada Investment Advisors.

The Aspada Investment Company is backed with a significant commitment from the Soros Economic Development Fund (SEDF) and works to promote economic opportunity and development in India. Aspada Investment Company is advised by Aspada Investment Advisors, led by Kartik Srivatsa and Thomas Hyland.

In April 2013, Aspada Investment Company announced an investment in an end-to-end fresh vegetable supply chain company, Lawrencedale Agri Processing, which operates in South India to aggregate fresh produce at the farm gate and sell to retail consumers in major markets under the LEAF brand. In January 2014, Aspada Investment Company announced an investment in ThinkLink Supply Chain Services, a provider of turnkey project management, design, skill development, and staffing services in India's logistics and supply chain sectors. In addition, Aspada Capital Advisors also advises the portfolio of the SONG Fund, an early stage venture capital firm funded by the Soros Economic Development Fund, Omidyar Network, and Google. 

About Aspada Investment Company 

The Aspada Investment Company makes investments in early stage companies in India operating in underserved segments within agricultural supply chains, logistics, healthcare delivery, financial services, and education. The company is backed with a significant commitment from the Soros Economic Development Fund (SEDF) and works to promote economic opportunity and development.

For more information, visit www.aspadainvestments.com.

Media Contact: Thomas Hyland, [email protected], 91-9845143530, Co-Founder and Partner, Aspada Investment Advisors