This investment was made when British International Investment was named CDC Group.
We have now exited this investment. This is what we achieved.
Achieved impact
Ujjivan is a microfinance company in India. The company is committed to increasing financial and digital inclusion.
We made a $26 million equity investment in the company in 2015 to support its geographic and product expansion plans.
We exited the company in 2017 and fully in 2018. From 2015 – 2019, the company’s assets under management grew by 38 per cent and its customers grew by 20 per cent.
It was one of the early recipients of the Small Finance Bank Licence in India, and successfully transformed into an impact-focussed, deposit-taking lending institution. We supported the company in this journey to becoming a small finance bank.
Expected impact
In 2015, CDC announced an investment of up to $26 million in Ujjivan, as part of an equity financing round of INR 6,000m. This investment will allow Ujjivan to provide more loans across a wider geographic area.
Historically, Ujjivan has focused on group lending microfinance for groups of women on low-incomes in urban areas.
Typically, these people are vegetable vendors, maids, porters and construction workers whose annual wage is less than INR 120,000 (c$1,900). In recent years, the MFI has also started to lend to individual micro-entrepreneurs to fund expenditure such as the purchase of equipment or livestock.
It also offers family loans to low-income women to cover school expenses of children, medical care, and house repairs.
Both the business and personal loans contribute to wider economic security and stability in these under-banked communities.
Reporting and Complaints Mechanism
The Reporting and Complaints Mechanism allows anyone outside BII to report alleged breaches of the business integrity or environmental and social provisions of BII’s Policy on Responsible Investing. This includes breaches made by BII, a BII investee, or a portfolio company of a fund in which BII has invested. The Reporting and Complaints Mechanism Rules are available here. Reports and complaints can be submitted by email to reportsandcomplaints@bii.co.uk or by mail. See more details on our Reporting and Complaints Mechanism here.
For any other general enquiries contact us at enquiries@bii.co.uk
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Key facts
- Last updated
:
When the last quarterly update of the website database occurred.
- June 2024
- Project number
:
An identifier number shared by investments in the same project.
- D298
- Status
:
The current status of the investment (green flag for active and red flag for exited).
- Exited
- Region
:
The geographical region where the country is located. We currently invest in Africa, South Asia, South East Asia and the Caribbean. In 2023, BII’s investment mandate was extended allowing it to invest in regional funds linked to Ukraine, with the majority of activity expected to begin post-war. Investments outside these regions were made prior to 2012 under previous investment mandates.
- South Asia
- Country
:
The countries where the investment delivers impact. Where impact is delivered in multiple countries, this is indicated.
- India
- Sector
:
We prioritise those sectors that facilitate development and need our capital the most. Our priority sectors contribute towards many of the Sustainable Development Goals. They range from investing in the power infrastructure that will provide people with better access to electricity, to investing in financial institutions that direct capital to the individuals and businesses that need it the most.
- Financial services
- Investment type :
- Equity
- Start date :
- March 2015
- End date :
- January 2018
- Amount :
- $25.95m
- Currency of investment :
- INR
- Domicile
:
The company or investment fund’s place of incorporation.
- India
We provide capital in the following ways: directly – through direct equity, direct debt, guarantees and other non-intermediated financial instruments; and indirectly – principally through investment funds.
For direct investments and fund investments, this is the date BII committed capital to the investments. This is typically the date on which legal agreements are signed by all parties.
For the portfolio companies of our fund investments, this is the date (either the month or the quarter) on which the fund committed capital to the portfolio company.
For direct equity investments, this is the date at which British International Investment exited the investment.
For debt investments, this is the date at which the final debt repayment was made.
For funds, this is the date at which the fund was terminated.
For underlying fund investments, this is the date at which the fund manager exited the investment.
The total amount committed, per financial instrument, per investment, on the date BII becomes subject to a binding legal obligation to provide funding or assume a contingent liability. This information is provided in US dollars.
For direct investments, this is the amount that BII has committed to the business or project. For fund investments, this is the amount BII has committed to the fund.
The currency in which the investment was made.
- Last updated
