Grameen Koota a division of Grameen Financial Services P. Ltd., a Bangalore-based Microfinance Institution (MFI), announced equity funding of Rs 27.5 crores from MicroVentures Investments (Luxembourg), MicroVentures SPA (Italy), Incofin (Belgium) and Aavishkar Goodwell (India).

Grameen Koota, an NBFC-MFI, works with poor and low-income households, providing financial and developmental services. Grameen Koota has close to 3 lakh borrowers who are serviced through 117 branches spread across Karnataka and Maharashtra. “The infused capital will spur the company's growth and enable Grameen Koota to reach 5 lakh poor & low income households by the end of this financial year. Grameen Koota will also make use of this capital to expand operations into the neighbouring states of AP, TN and MP” says Suresh Krishna, Managing Director, Grameen Koota.

Grameen Koota has also focused on widening it's offerings to engage communities in social development activities and services like education, health, sanitation, awareness on indoor air pollution etc. “From the very beginning, Grameen Koota has operated in a sustainable, business-like manner, with a firm social focus and purpose. Hence, we have always sought investment from socially oriented investors and are happy to have found investors who are aligned with our social vision & mission.” says Vinatha Reddy Founder-Chairman. Aavishkaar Goodwell, a first round investor, makes it's second investment in continued support of Grameen Koota's work. “Our long association with Aavishkaar stems from our common understanding of the need for financial inclusion in India. In the past, Aavishkaar has contributed significantly to the resources we required to scale operations. Today, the company has helped us structure deals for our second round of investments,” adds  Krishna.