Trade financing start-up Vayana Network on Wednesday announced it has raised Rs 114 crore as part of its Series C funding from International Finance Corporation (IFC) and PayU. The company said it plans to use the funds to build products focused on helping MSMEs better manage their working capital and become credit ready.
Vayana Network had already raised Rs 283 crore in its existing round from new and existing investors, including Marshall Wace, March Capital, Chiratae Ventures, CDC group, Jungle Ventures, and well-established family offices in India and abroad.
“While we are set to do more than USD 10 bn of trade financing in India alone this financial year, we are focusing on creating tools and infrastructure to help small businesses manage their working capital efficiently and sourcing trade finance at the most affordable rates. We will continue to build on our leadership role in public trade infrastructure including GST, e-Invoice and e-Way Bill and embedding credit for every business in the supply chain. FY 23 also will see the launch of Vayana ITFS (International Trade Finance Services) platform at GIFT City (Gujarat), which will enable exporters and importers access international trade finance facilities at competitive rates,” said Ram Iyer, Founder and CEO, Vayana Network.
The company will also launch Vayana ITFS (International Trade Finance Services) platform at GIFT City, Gujarat in the current financial year. The platform will enable exporters and importers to access international trade finance facilities at competitive rates, added Iyer.
Founded in 2017, Pune-based Vayana Network said it has enabled finance of over $10 billion to over 1.5 lakh MSMEs for over 1,000 supply chains in 25 different sectors. Its network spans 600 cities in India and extends to 20 countries. According to Crunchbase data, the company had overall raised $57.2 million (over Rs 437 crore) till its last funding round in November 2021.
"PayU & Vayana both share a common vision of democratising SME's access to finance through technology. The collaboration between both companies will lead to multiple synergies with PayU's merchant ecosystem, especially the SME transaction platform & SME lending portfolio. Vayana is led by a strong founder and a best-in-class team with deep expertise in supply chain financing. We are excited to partner with them and look forward to co-creating products to address the specific needs of our combined merchant base," said Vijay Agicha, Global Head of Strategy & Growth, PayU.
Vayana Network along with other trade financing platforms such as KredX, M1xchange, and RXIL was issued licenses last year by the International Financial Services Centres Authority (IFSCA) to support exporters and importers. Established by the government, IFSCA is a unified authority for the development and regulation of financial products, financial services, and financial institutions in India.