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Sitara Secures Rs 120 crore from British International Investment


Sitara (Sewa Grih Rin Limited) has raised Rs 120 crore of debt financing from British International Investment (BII), the UK’s development finance and impact investor, to boost its affordable housing business.

The company will use the capital to grow its loan book, expand operations into new locations, and provide affordable housing to low-income women and families by providing access to finance for home construction and improvements.

“This collaboration represents a momentous milestone for both entities, aligning with Sitara’s commitment to advancing social causes and driving inclusive growth. The substantial investment of INR 1200 Mn from BII will catalyse Sitara’s rapid expansion, empowering us to amplify our efforts in supporting the underserved. A key focus of this partnership is to extend home loans to women from the informal sector, thereby contributing to financial inclusion and women’s economic empowerment,” said Shruti Gonsalves, MD and CEO at Sitara.

This deal with BII marks a significant milestone for Sitara, further strengthening its position as a leader in affordable housing finance with a socially impactful approach.

“The housing crisis in India has been exacerbated by urbanisation and migration. In cities, many low-income families face challenges due to informal job natures and poor living conditions. We are delighted to work with Sitara and enable access to affordable housing finance, particularly for low-income households and women, to build safer and better homes. We are keen to see our investment reach more underserved groups and create a deeper and longer-lasting impact on their livelihoods,” said Gaurav Malhotra, Director for Financial Services of BII.

Axis Bank, one of the leading private sector banks in India, has facilitated this deal between BII and Sitara. Sitara’s operations include providing loans ranging from Rs 50,000 to Rs 30 lakhs for house construction, extension, purchase, and renovation. The Company currently operates through a network of 75 branches across nine states. It is a Housing Finance Company registered with the National Housing Bank and regulated by the Reserve Bank of India. It has provided financial solutions to under-served and low-income households since its inception in 2015. British International Investment is the UK’s development finance institution and impact investor. It invests to support the UK Government’s Clean Green Initiative and to create productive, sustainable and inclusive economies. BII is also a founding member of the 2X Challenge, which has raised over $16 billion to empower women’s economic development. The company has investments in over 1,470 businesses across 65 countries and total assets of £8.1 billion.


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