DMI Finance Pvt Ltd, a non-banking lending arm of the DMI Group, has recently secured a significant equity investment of Rs 2,798 crore (approximately $333 million) from Mitsubishi UFJ Financial Group, Inc., through its subsidiary MUFG Bank. This latest fundraising brings MUFG’s total investment in DMI Finance to Rs 4,712 crores (approximately $561.3 million), highlighting the growing partnership between the two entities.
DMI Finance offers a range of financial products, including consumption, personal, and MSME loans. The company prides itself on sourcing and servicing customers through various digital channels, positioning itself as an embedded digital finance partner for prominent businesses such as Samsung, Google Pay, and Airtel. These partnerships enable DMI Finance to provide financial products to a wide customer base in India, with the company claiming to have access to 25 million customers.
In the financial year ending March 2024, DMI Finance disbursed loans worth $2.25 billion, showcasing its robust growth and market presence. The company’s ability to expand its consumer finance business has been recognized by MUFG Bank, with Masakazu Osawa, managing executive officer and chief executive for Asia Pacific of MUFG Bank, expressing confidence in DMI Finance’s growth trajectory.
Founded in 2008 by former Citigroup executives Shivashish Chatterjee and Yuvraj C Singh, DMI Finance has over a decade of experience in the financial services industry. The company’s track record of success and expertise in the market have attracted significant investments from leading financial institutions like MUFG Bank.
This recent equity investment is not the first collaboration between MUFG Bank and DMI Finance. In April last year, MUFG Bank led a $400 million equity investment round in DMI Finance, which also saw participation from existing investor Sumitomo Mitsui Trust Bank Ltd. This continued support from key investors underscores the confidence in DMI Finance’s business model and growth potential.
Overall, the partnership between DMI Finance and MUFG Bank signifies a strategic alignment in the financial services sector, with both entities leveraging their strengths to drive innovation and growth. As DMI Finance continues to expand its market presence and offer innovative financial solutions, the collaboration with MUFG Bank is expected to further enhance its capabilities and reach in the industry.
