SK Finance Funding, Investors & Competitors

SK Finance has raised $366M across 6 funding rounds, most recently a $160M undisclosed-stage round in January 2024.

Last SK Finance funding round

$160M

Undisclosed stage · Jan 2024

Cumulative funding SK Finance raised

$366M

across 6 funding rounds

Key investors in SK Finance

  • Norwest
  • TPG
  • Evolvence India Fund
  • Baring Private Equity India
  • Mirae Asset Venture Investment
  • Motilal Oswal Private Equity
  • Ananta Capital
  • BanyanTree Finance Pvt. Ltd.

SK Finance Overview

About SK Finance

SK Finance is a Chennai-based non-banking financial company in India targeting mid-market asset financing. It offers loans for commercial vehicles, tractors, construction equipment, cars, two-wheelers, and small enterprise working capital. Regulated by RBI, SK Finance operates branches in Tamil Nadu, Karnataka, and Andhra Pradesh, disbursing loans to rural and semi-urban borrowers.


Founded

1994

HQ

IndiaJaipur

Website

skfin.in

Status

Privately held

Customer focus

B2B

Revenue model

Services

SK Finance Funding History

SK Finance has raised a total of $366M across 6 funding rounds.

SK Finance's first fundraising round was a $32M undisclosed-stage round in January 2018. The most recent completed round was a $160M undisclosed-stage round in January 2024.

SK Finance funding rounds

SK Finance funding rounds
DateStageInvestorsRaisedDeal Summary
Jan 2024Undisclosed stageMotilal Oswal Private Equity (lead); Duro Capital; Baring Private Equity India; Norwest; Mirae Asset Venture Investment; TPG; Ananta Capital; Axis Alternatives$160MSK Finance Limited, founded in 1994 by Rajendra Kumar Setia and headquartered in Jaipur, is a non-banking financial company (NBFC) specializing in financing for used and new commercial vehicles, cars, tractors, two-wheelers, and secured business loans targeted at underbanked, low-to-mid income self-employed individuals. The company operates through approximately 500 branches and over 9,600 employees across 12 states and union territories as of September 2023, with strong credit ratings including AA- from CARE, ICRA, and India Ratings, and A+ from CRISIL. It has demonstrated robust growth with a 6-year CAGR exceeding 40% from FY17-23 and reported profit after tax of Rs 222.8 crore for FY23, up from Rs 142.9 crore the prior year. On January 23, 2024, SK Finance raised Rs 1,328 crore (approximately $160 million) in an equity funding round comprising primary and secondary capital. Existing investors Norwest Venture Partners, TPG Growth, and Baring Private Equity India participated alongside new investors Duro Capital, Axis Alternatives, Ananta Capital, Mirae Asset Venture Investments (India), and Motilal Oswal Alternates (MO Alts), which invested Rs 415 crore for a minority stake. Motilal Oswal Private Equity acted as a lead participant in this larger fundraise, advised by DC Advisory India. The capital is earmarked for investments in brand building, distribution expansion, technology upgrades, and talent acquisition to fuel accelerated growth. Financially, SK Finance recorded total revenue from operations of Rs 1,302.8 crore for the fiscal year ended March 31, 2023, a significant jump from Rs 814.4 crore in the previous year. The company, previously known as Ess Kay Fincorp, had previously raised funds including Rs 400 crore in a Series F round in late 2021 from IIFL Wealth and others, bringing cumulative equity to Rs 1,400 crore at that time. It is positioning for an initial public offering (IPO) in 2024, targeting $250-300 million (Rs 2,092-2,511 crore), amid a highly underpenetrated used vehicle financing market in India where its focus on granular ticket sizes has driven scale advantages.
Dec 2021Series F-$53MSK Finance, formerly Ess Kay Fincorp, is a Jaipur-based non-banking financial company (NBFC) specializing in asset finance for used vehicles, SMEs, commercial vehicles, agricultural and construction equipment, passenger vehicles, two-wheelers, and small business loans in the Indian mid-market. Incorporated in 1994, it serves an active borrower base of around 2.20 lakh individuals as of 30 September 2021, with assets under management (AUM) of approximately Rs 4,100 crore, reflecting loan book growth at over 40% CAGR over the last seven years. The company closed two equity fund raises totaling Rs 717 crore in FY22, including Rs 487 crore in primary capital over rounds in May 2021 and December 2021 from existing and new investors, boosting capital adequacy to 30.4%. In FY22, it achieved record disbursement of Rs 3,226 crore (up 36% YoY), PAT of Rs 143 crore (up 63% YoY), net worth of Rs 1,596 crore (up 79% YoY), interest income of Rs 775 crore (up 20.1% YoY), and net interest income of Rs 428 crore. The December 23, 2021 unattributed/Series F round involved issuing 682,446 equity shares at INR 2,197.98 per share, part of broader fundraising backed by investors like TPG Growth, Norwest Venture Partners, Baring India, and Evolvence India Fund. Prior rounds included Series E in May 2021 raising Rs 337 crore (~$45M) and debt of Rs 86 crore in 2020.
May 2021Series ETPG (lead); Evolvence India Fund; Norwest; Rajendra K Setia$46MSK Finance, formerly Ess Kay Fincorp, is a Jaipur-based non-banking financial company (NBFC) specializing in asset finance for the Indian mid-market, offering loans for commercial vehicles, agricultural and construction equipment, passenger vehicles, two-wheelers, and small business loans. Incorporated in 1994, it serves used-vehicle and SME financing segments. In May 2021, SK Finance raised Rs 337 crore (about $45 million) in its Series E funding round from TPG Growth, Norwest Venture Partners, Evolvence India Fund, and promoter Rajendra Setia. The company has attracted backing from marquee investors including TPG Growth, Norwest Venture Partners, Baring India, and Evolvence India Fund (invested since 2017). Prior to Series E, Norwest participated in an earlier round following BanyanTree Growth Capital's full exit in 2018. By late 2021, SK Finance had raised a cumulative Rs 1,400 crore across six investors and secured debt funding of Rs 86 crore from responsAbility AG the previous year. As of 30 September 2021, shortly after the round, SK Finance reported an active borrower base of 2.20 lakh individuals and assets under management (AUM) of Rs 4,100 crore, with loan book growth exceeding 40% CAGR over the last seven years. Subsequently, in late 2021, SK Finance closed a Series F round raising Rs 400 crore ($53 million) from IIFL Wealth and others.
Nov 2019Undisclosed stageTPG (lead); Evolvence India Fund; Norwest$33MSK Finance (formerly Ess Kay Fincorp) is a Jaipur-headquartered non-bank lender that raised $33 million in November 2019 in a round led by TPG Capital with participation from other investors including Evolvence India Fund and Norwest. The company operates in the NBFC space, providing financing solutions across multiple sectors. By the fiscal year ending March 2022, SK Finance had achieved significant growth with an AUM of Rs 4,714 crore and a record disbursement of Rs 3,226 crore during that year. The company demonstrated disciplined credit quality with a gross stage 3 ratio of 2.83% and net stage 3 of 2.04%, while maintaining strong capital adequacy at 30.4%. SK Finance operated across 10 states with 423 total branches and maintained a net profit of Rs 143 crore during the 2021-22 fiscal year. The company has demonstrated consistent growth with AUM increasing at a CAGR of 42% over the five-year period preceding the 2021-22 report. Additionally, SK Finance received a USD 25 million sanction from the Global Climate Partnership Fund for sustainable financing initiatives, including CNG vehicle financing, reflecting the company's commitment to clean energy financing.
Oct 2018Undisclosed stageBanyanTree Finance Pvt. Ltd. (lead); TPG (lead); Evolvence India Fund; Norwest$42M-
Jan 2018Undisclosed stageBaring Private Equity India (lead); Evolvence India Fund (lead); Norwest (lead); Ladderup Finance$32M-

Who has invested in SK Finance?

12 investors have backed SK Finance across its funding rounds, including Norwest, TPG, Evolvence India Fund, Baring Private Equity India, Mirae Asset Venture Investment and Motilal Oswal Private Equity.

Lead investors include Motilal Oswal Private Equity, TPG, BanyanTree Finance Pvt. Ltd., Baring Private Equity India, Evolvence India Fund and 1 other investor.


SK Finance Investors

Investors in SK Finance by funding rounds participated
InvestorHQRoundsRoleFirst check
NorwestUnited StatesSan Francisco, CA5LeadJan 2018
Evolvence India FundIndiaMumbai4LeadJan 2018
TPGUnited StatesSan Francisco, CA4LeadOct 2018
Baring Private Equity IndiaGuernseySt. Peter Port2LeadJan 2018
Duro CapitalSingaporeSingapore1ParticipantJan 2024
Motilal Oswal Private EquityIndiaMumbai1LeadJan 2024
BanyanTree Finance Pvt. Ltd.IndiaMumbai1LeadOct 2018
Mirae Asset Venture InvestmentSouth KoreaSeongnam1ParticipantJan 2024
Ladderup FinanceIndiaIndia1ParticipantJan 2018
Rajendra K SetiaIndiaJaipur1ParticipantMay 2021

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SK Finance Competitors

SK Finance competitors include listed companies like Bajaj Finance, Tata Capital, Mitsubishi HC Capital and Muthoot Finance, and private ones like JD Digits and Creditas Financial.

Public and private companies comparable to SK Finance
CompanyHQStatusRevenueEBITDAValuationRevenue Multiple
Bajaj FinanceIndiaIndiaPublicly listed$5.2B$2.7B$66B16.6x
JD DigitsChinaBeijingPrivate--$18B-
Tata CapitalIndiaIndiaPublicly listed$3.1B$759M$15B20.8x
Mitsubishi HC CapitalJapanJapanPublicly listed$14B$4.2B$13B5.0x
Muthoot FinanceIndiaIndiaPublicly listed$2.1B$1.4B$12B13.5x
Creditas FinancialCayman IslandsGeorge TownPrivate$200M-$4.8B24.0x
Last FYEV/RevenueEV/EBITDA
RevenueEBITDALast FYLTM2027ELast FYLTM2027E
Bajaj Finance$5.2B$2.7B19.8x16.6x37.3x29.7x
Tata Capital$3.1B$759M12.2x20.8x49.8x-
Mitsubishi HC Capital$14B$4.2B5.0x5.0x17.2x20.9x
Muthoot Finance$2.1B$1.4B12.3x13.5x19.1x18.4x
Aditya Birla Capital$4.8B$1.8B6.2x29.8x16.5x40.5x
Chailease Holding$707M($1.1B)34.4x7.8x(21.2x)19.6x
Credit Acceptance$2.3B$565M5.4x5.7x22.0x-
Blue Owl Capital Corp.$1.7B-7.9x8.1x--

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Common questions about SK Finance

When was SK Finance founded?SK Finance was founded in 1994.
Where is SK Finance headquartered?SK Finance is headquartered in Jaipur, India.
Is SK Finance publicly listed?No, SK Finance is a private, VC-backed company.
How much funding has SK Finance raised?SK Finance has raised $366M across 6 funding rounds.
What was SK Finance's last funding round?SK Finance's last funding round was a $160M undisclosed-stage round in January 2024, led by Motilal Oswal Private Equity.
Who are SK Finance's investors?SK Finance's investors include Norwest, Evolvence India Fund, TPG, Baring Private Equity India, Duro Capital, Motilal Oswal Private Equity, BanyanTree Finance Pvt. Ltd., Mirae Asset Venture Investment, Ladderup Finance, Rajendra K Setia and 2 others.
Which companies are comparable to SK Finance?Companies comparable to SK Finance include Bajaj Finance, JD Digits, Tata Capital, Mitsubishi HC Capital, Muthoot Finance and Creditas Financial.

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