GrowXCD Finance, a startup lender serving micro, small, and marginal enterprises (MSMEs) as well as salaried employees, has raised Rs 200 crore in a fresh funding round led by Blue Earth Capital and Prosus Ventures. Blue Earth Capital contributed Rs 105 crore, while Prosus invested Rs 70 crore.
This marks GrowXCD’s second equity infusion this year. In January, the company raised Rs 50 crore from Lok Capital and UC Impower. Lok Capital, which first invested in November 2023, increased its stake with Rs 21 crore, bringing its total investment to approximately Rs 93 crore, making it the largest shareholder. UC Impower contributed Rs 4 crore in the previous round.
Founded in 2022 by Arjun Muralidharan, GrowXCD Finance operates 67 branches across Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, and Puducherry. The startup focuses on providing credit solutions to MSMEs and salaried individuals in tier-II and tier-III towns, addressing the credit gap in underserved markets.
“The capital infusion will help us expand our portfolio and branch network, while strengthening our technology backbone,” said Arjun Muralidharan. “This funding will support the next 12–18 months of growth.”
GrowXCD aims to increase its assets under management (AUM) to Rs 500 crore by March 2026 from the current Rs 300 crore. The company also plans to open 40–50 new branches by March 2027 and explore expansion into states such as Madhya Pradesh, Maharashtra, and Uttar Pradesh.
With this funding, GrowXCD Finance is positioned to accelerate its regional expansion, enhance digital lending capabilities, and strengthen its footprint in underserved MSME markets, reinforcing its mission to make formal credit more accessible to small businesses and salaried employees across southern India.
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