IntelleGrow secures $4.5 million investment
Shell Foundation partner, IntelleGrow, has attracted further investment to help fast-growing small businesses serving low-income communities in India to access growth capital and skills support.
Equity investment from Omidyar Network ($4 million) and the Michael and Susan Dell Foundation ($500K) will help IntelleGrow achieve its target to lend to more than 250 companies across India by 2016.
The IntelleGrow team
This latest round of funding marks the high demand for IntelleGrow services since the company was first formed in 2010 by Shell Foundation and IntelleCap. To-date IntelleGrow has disbursed more than 60 loans, totalling almost $1 million, to support the growth of early-stage businesses in high-impact sectors such as access to energy, education and healthcare.
“Building upon the principles of venture capital, we support market-based approaches to catalyse social and economic change,” said Dimple Singh, Director, Investments, Omidyar Network India Advisors. “By supporting debt for Indian social ventures through IntelleGrow, we hope to spark confidence among mainstream investors in this model.”
IntelleGrow provides viability-based debt finance to fast growing early-stage enterprises with a turnover of less than $8.5m and at least 12 months track record, structured to suit the unique needs and cashflows of its clients.
By supporting debt for India social ventures through IntelleGrow, we hope to spark confidence among mainstream investors in this model
Dimple Singh, Director, Investments, Omidyar Network India Advisors
“Businesses in their early stages need debt at the right time to sustain and create value, and not to be dependent upon equity. Our offering in the form of venture debt creates value for promoters and investors and helps multiply the social impact,” explained IntelleGrow CEO, Sanjib Jha.
“We know there are literally hundreds of worthy companies to meet and engage with in India. Unlocking capital for these companies means unlocking solutions to India’s development challenges. With investment from the Omidyar Network and the Michael and Susan Dell Foundation, we have found new partners in this work; partners that share our belief in our model and our track-record."