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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 raises Rs. 36 crore in Series B

Ummeed Housing Finance, a Delhi-based affordable housing finance company, has raised about Rs. 36 crore ($5.6 million) in a Series B round from existing investors Lok Capital Growth Fund and Duane Park. It had raised about Rs. 22 crore ($3.5 million) in the first round of institutional funding from these two investors in October 2016.

According to a press release, Ummeed will use the funds raised now to expand in North and Central India, invest in SMAC (Social, Mobile, Analytics and Cloud) technologies and grow assets under management by six times this year.

Ummeed focusses on providing housing finance access to families with low and informal income. Over the last eight months, it has grown with three branches in Delhi, Chandigarh and Jaipur and has close to Rs. 20 crore of assets under management. The company aims to expand to six new locations in North and Central India and increase assets under management to Rs. 120 crore by March 2018.

The company offers home loans ranging from Rs. 3-25 lakh for purchasing apartments, constructing homes, improving existing homes and for loans against property.

Ashutosh Sharma, who founded Ummeed in January 2016 after working for nearly 25 years in various multinational banks, was quoted in the release as saying that the fresh round of investment comes at a time when the company is ready to scale. “We will strengthen our fintech and move towards becoming a mobile platform,” he was quoted in the release. Ummeed plans to build scoring modules that can improve operation efficiencies, reduce turnaround time and build robustness around the credit quality of the portfolio.

Ummeed, which has built a technology platform for loan origination and management, targets to go paper-less, using tablets in all its branches to study customers, run algorithms for credit scoring and disburse loans quicker, according to the release.

One of the sectors that impact investor Lok Capital invests in is financial inclusion, of which affordable housing finance is a critical part.