Vegafin Secures Up to ₹1,000 Crore (About $106 Million) From Premji, Norwest and Lok Capital

Premji Invest, Norwest and Lok Capital will invest up to ₹1,000 crore, or about $106 million, in Vegafin, an AI-driven micro, small and medium enterprise lending platform. The company was founded and is led by Bijith Bhaskar, a former ICICI Bank executive.

Part of the funds has been used to acquire a majority stake in Bizloan, a Gurugram-based non-banking financial company specialising in secured MSME loans, according to a joint statement carried by TradingView. The remaining capital will fund platform development and broader expansion.

Bizloan has more than 35 branches across five Indian states and manages about ₹235 crore in assets, according to the statement. Founded in 2018, it was backed by the Michael & Susan Dell Foundation, BLinC Invest and Mohan Enterprises; BLinC Invest will remain an investor while the other two will exit.

Bhaskar said the MSME sector is a cornerstone of the Indian economy but faces a credit gap of more than ₹30 trillion. The investment remains subject to regulatory approvals.

What do these terms mean?

Crore: A unit used in India equal to 10 million, commonly used with the rupee to express large sums.

Majority stake: A shareholding large enough to give its holder control over a company’s decisions.

Non-banking financial company: A company that provides loans and financial services without being a fully licensed bank.

Assets under management: The total loans and investments managed by a company, whether on behalf of clients or from its own funds.