DMI Finance is a digital lending company in India. It has recently closed a $400 million equity investment round. MUFG Bank, a Mitsubishi UFJ Financial Group subsidiary, led the round. Sumitomo Mitsui Trust Bank Limited, an existing investor, also participated in the funding round, which includes primary and secondary transactions.
DMI Finance focuses solely on providing loans through digital channels. This includes products such as consumption, personal, and MSME loans. It uses technology to optimize every step in the lending process, from sales and underwriting to customer service and collections.
DMI Finance Aims to Provide Reliable Financial Services to Small Businesses and Households in India
According to Shivashish Chatterjee, Co-Founder and Joint MD of DMI Finance, the company aims to be the trusted partner for Indian households and small businesses in addressing their rapidly growing financial needs. He is delighted to welcome MUFG and SuMi TRUST Bank on this pioneering mission. The company began in 2016 by providing real-time credit to clients.
Yuvraja C. Singh, Co-Founder and Joint MD of DMI Finance, stated that the Indian financial market has enormous growth potential over the next decade or two. The company is fortunate to have strategic investors who share its values and long-term vision. MUFG and SuMi TRUST Bank are the ideal investors for the company. This is due to their extensive experience and patient approach in the financial markets.
The future growth potential and India’s digital infrastructure
Masashige Nakazono, MD and Head of the Global Commercial Banking Planning Division of MUFG Bank, emphasized the importance of Asia as a second home market for MUFG Bank, with India as one of its most promising growth markets. Moreover, he believes that DMI Finance’s digital financial services and last-mile reach capabilities will significantly contribute to India’s growth. MUFG Bank’s investment will help support the company’s growth as a strategic partner.
Masaya Noda is the Managing Executive Officer (MEO) of SuMi TRUST Bank. He also expressed the bank’s eagerness to collaborate with DMI as a business partner. Also, to grow together through India-related business opportunities.
It’s worth noting that DMI is not alone in the Indian digital lending space. The country has seen a significant increase in digital lending in recent years, driven by a combination of factors such as increasing smartphone and internet penetration, a growing middle class, and the need for quick and easy access to credit. While this has increased financial inclusion and convenience for borrowers, it has also raised concerns about predatory lending practices and inadequate regulation. Nevertheless, with its strong partnerships with major businesses and a focus on leveraging technology to streamline the lending process, DMI is well-positioned to continue growing in the Indian market.
About DMI Finance
The company sources and services customers through multiple digital channels. This includes partnerships with leading businesses such as Samsung, Google Pay, and Airtel. DMI collaborates with these businesses to offer diverse financial products to their customers across India.
With its extensive reach, DMI has a presence in 95% of India’s pin codes, serving over 25 million customers.
ICRA, India’s leading credit rating agency, has rated DMI as AA-. This indicates the company’s strong financial performance and creditworthiness. DMI is also backed by support from several leading banks in India and internationally.
DMI’s $400 million equity investment round is a significant milestone in the company’s efforts to provide digital financial services to the unbanked population of India. The company is projected to expand its customer base to over 40 million in the fiscal year 2024.