Ummeed In News
This is Ummeed Housing Finance Pvt. Ltd.’s Media Centre, here you can have a glimpse of our corporate and brand announcements. You can also access our press releases, media reports, interviews and articles across print, online and electronic channels.
Ummeed Housing Finance Receives $20 Million Sanction From US International Development Finance Corporation
Ummeed Housing Finance aims to impact tier 2,3 and 4 cities with new funding.
Gurgaon-based digital housing finance company Ummeed Housing Finance Private Limited (UHFPL) informed on Monday that it has received a sanction of up to $20 million from US International Development Finance Corporation (DFC). The company said that it will use the new funding for providing housing finance to Economically Weaker Sections (EWS), Lower Income Groups and Middle Income Groups in tier 2,3 and 4 cities.
James Polan, Vice President of DFC’s Office of Development Credit, said, "This is an important transaction that will provide vital financing to support increased access to affordable housing in India." He added that it will also help in growing home ownership among women.
UHFPL, founded in 2016, claims to provide housing finance to underserved and underbanked population. According to the company, it has 84 branches across north and central India.
Commenting on the new development, Ashutosh Sharma, Founder and Managing Director of UHFPL, said, "It is a proud moment for us to be associated with the U.S. International Development Finance Corporation. This DFC facility allows us to extend long dated credit to the underbanked population to assist with home purchases, construction, and extension."
UHFPL has partnerships with several marquee investors, which include Norwest Venture Partners, Morgan Stanley Private Equity Asia, Lightrock, and CX Partners. As per the data, the company has over Rs1,350 crore worth of assets under management. It has also forged partnerships with diverse mix of more than 25 lenders, including Public & Private Sector Banks, Global Development Financial Institutions and Domestic Financial Institutions.
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Ummeed In News
This is Ummeed Housing Finance Pvt. Ltd.’s Media Centre, here you can have a glimpse of our corporate and brand announcements. You can also access our press releases, media reports, interviews and articles across print, online and electronic channels.
Ummeed Housing Finance secures $20 million DFC sanction for affordable housing expansion
The funds will be used to provide long-tenure housing finance to economically weaker sections in Tier 2, 3, and 4 cities.
Ummeed Housing Finance has received a sanction of up to $20 million (₹160 crore) from the US International Development Finance Corporation (DFC).
The Gurgaon-based, digital affordable housing finance company will use the funds to offer long-tenure housing finance to the Economically Weaker Sections (EWS), Lower-Income Groups (LIGs) and Middle-Income Groups (MIGs) in Tier 2, 3 and 4 cities.
“This DFC facility allows us to extend long dated credit to the underbanked population to assist with home purchases, construction, and extension. Our programme strongly encourages women co-ownership on these loans and properties,” said Founder and MD Ashutosh Sharma.
DFC is the US government’s development finance institution that works with the private sector to channel development capital into emerging markets. It is partnering with Ummeed Housing to fund approximately 2,000 new, low-ticket mortgages, averaging $11,600 (Rs 9 lakh) in size, with tenures of up to 15 years.
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Ummeed In News
This is Ummeed Housing Finance Pvt. Ltd.’s Media Centre, here you can have a glimpse of our corporate and brand announcements. You can also access our press releases, media reports, interviews and articles across print, online and electronic channels.
Ummeed Housing Finance receives sanction of upto Rs 160 cr from US DFC
The company said it is backed by the four marquee investors -- Norwest Venture Partners, Morgan Stanley Private Equity Asia, Lightrock, and CX Partners
Marquee investors-backed Ummeed Housing Finance (UHFPL), a digital affordable housing finance company, on Monday said it has received a sanction of up to USD 20 million (about Rs 160 crore) from the US International Development Finance Corporation (DFC).
The funding will be used to provide long-tenure housing finance to the Economically Weaker Sections (EWS), Lower-Income Groups (LIGs) and Middle-Income Groups (MIGs) in Tier 2, 3 & 4 cities in the country, the company said in a statement.
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Ummeed In News
This is Ummeed Housing Finance Pvt. Ltd.’s Media Centre, here you can have a glimpse of our corporate and brand announcements. You can also access our press releases, media reports, interviews and articles across print, online and electronic channels.
Ummeed Housing Finance receives $20 million from US DFC
Ummeed Housing Finance (UHFPL), a digital affordable housing finance company, has received a sanction of up to USD 20 million from the US International Development Finance Corporation (DFC). The funding will be used to provide long-tenure housing finance to economically weaker sections and lower-income groups in Tier 2, 3, and 4 cities in India.
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Ummeed In News
This is Ummeed Housing Finance Pvt. Ltd.’s Media Centre, here you can have a glimpse of our corporate and brand announcements. You can also access our press releases, media reports, interviews and articles across print, online and electronic channels.
US’ DFC grants $20-million loan to Ummeed Housing Fin
The US International Development Finance Corporation (DFC) has sanctioned a $20 million long term loan for Gurgaon-based Ummeed Housing Finance to fund housing needs of the economically weaker and middle-income groups.
The American funding body will provide the debt at a 4.25% fixed rate for 15 years, Ummeed's founder and managing director Ashutosh Sharma said.
"This DFC facility would allow us to extend longer tenure credit to the underbanked population to assist with home purchases, construction, and extension. This will also help us diversify the wagon wheel of liability while the funding is attractive from an interest rate perspective," Sharma told ET.
The all blended cost of this borrowing including the hedging cost for five years would be anything between 8-9%, he said. The loan carries a two-year moratorium.
The size of the debt would be Rs 160 crore in local currency and the company plans to start drawing down the fund in the next three months or so. The lender plans to finance around 2,000 low-ticket mortgages with this.
“This is an important transaction that will provide vital financing to support increased access to affordable housing in India,” said James Polan, vice president of DFC’s office of development credit.
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Ummeed In News
This is Ummeed Housing Finance Pvt. Ltd.’s Media Centre, here you can have a glimpse of our corporate and brand announcements. You can also access our press releases, media reports, interviews and articles across print, online and electronic channels.
PE-Backed Ummeed Housing Snags $20 Mn From Overseas Investor
Ashutosh Sharma, founder and managing director, Ummeed Housing Gurugram-based Ummeed Housing Finance Pvt Ltd, which counts Morgan Stanley Private Equity Asia, Norwest Venture Partners, CX Partners and Lightrock (previously LGT Lightstone Aspada) as its investors, has secured capital from another overseas investor.
The non-banking finance company (NBFC) that operates in the affordable housing finance segment is set to raise up to $20 million (Rs 166.4 crore) in funding from the US International Development Finance Corporation (DFC).
The funding will be used for providing long-tenor housing finance to the economically weaker section, lower-income groups and middle-income groups in Tier II, III and IV cities in the country, Ummeed Housing said Monday.
Specifically, the US DFC is partnering with Ummeed Housing to fund about 2,000 new, low-ticket mortgages, averaging $11,600 (around Rs 9 lakh) in size, with tenures of up to 15 years.
“This DFC facility allows us to extend long-dated credit to the underbanked population to assist with home purchases, construction, and extension. Our technology-enabled platform delivers shorter turnaround times on these loans which is an important requirement from our customer segment,” said Ashutosh Sharma, founder and managing director, Ummeed Housing.
Ummeed was founded in January 2016 by Sharma, who had previously worked at Citibank, HSBC, and Bank of Montreal. The company provides loans to families with low and informal incomes.
It offers loans ranging from Rs 3 lakh to Rs 50 lakh for home purchases, home construction, home renovations and repairs, loans against property and business loans to micro, small and medium enterprises (MSMEs).
At present, it has more than Rs 1,350 crore in assets under management and is operating 84 branches across seven states in India.
In 2021, Ummeed raised Rs 270 crore in its Series E funding round led by Norwest and Morgan Stanley PE Asia.
The DFC is the US government’s development finance institution that works with the private sector to channel development capital into emerging markets.
This is the second NBFC backed by the DFC within three months. In July, it invested $50 million in debt in Bengaluru-based Vistaar Financial Services Pvt. Ltd, which lends to women-led MSMEs in rural India.
The DFC has been backing a few other Indian companies and is also a limited partner in a homegrown fund. For instance, the DFC is providing a nearly $6 million loan portfolio guarantee to Annapurna Finance Pvt. Ltd.
The investment is part of the $11 million raise in collaboration with the United States Agency for International Development.
It is also investing $15 million in early-stage venture capital firm Mumbai-based impact investor Ankur Capital’s third fund. The fund primarily invests in startups leveraging digital and deep science technologies.
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