Non-Banking Finance Company (NBFC) Varthana has successfully raised $3 million (Rs 27 crore) through non-convertible debentures (NCD) from Triodos Investment Management. This infusion of funds will enable Varthana to expand its reach and support more schools and students by upgrading its infrastructure, facilities, and educational foundations.
Established in 2013 by Steve Hardgrave, Varthana credits low-budget private schools and students pursuing higher education in India. The company operates across 15 states, catering to over 8,500 schools and benefiting four million students. Since its inception, Varthana has disbursed over 15,000 loans and established partnerships with more than 750 loan institutions.
However, Varthana has faced challenges in recent years, with revenue declining from Rs 211 crore in FY21 to Rs 190 crore in FY22 and further to Rs 183 crore in FY23. This funding from Triodos comes at a crucial time to help the company regain its growth trajectory and enhance its impact on the education sector.
Based in the Netherlands, Triodos Investment Management is known for its focus on sustainable and impact investing, covering areas such as food, resources, energy, societal, and wellbeing sectors. As a wholly owned subsidiary of Triodos Bank NV, it operates globally, supporting projects and companies that contribute to a better world.
The partnership between Varthana and Triodos Investment Management signifies a solid commitment to improving educational opportunities and infrastructure in India, fostering a brighter future for millions of students.
