Eduvanz, a fintech non-banking finance company that claims to provide affordable and convenient education loans, has raised $13.5 million (INR 100 Crores) in its Series B round led by Sequoia Capital India and Juvo Ventures.
According to a report, Eduvanz has raised fresh capital at a post-money valuation of Rs 530 crore or $70 million.
Sequoia Capital India and Juvo Ventures have collectively invested a little over Rs 50 crore or $7 million while 15 other investors have put in the remaining amount.
Following the allotment of fresh shares, Sequoia has acquired a 34.83% stake in Eduvanz followed by Unitus Seed Fund which now controls a 16.29% stake in the company. Promoters equity has been diluted to 12.21% whereas new investor Juno has acquired 5.07% holding in the company.
Eduvanz provides low-cost loans to students via its digital platform and aims to make education accessible to all learners across K-12, Test-Prep, and up-skilling and UG/PG segments. The company has enabled more than 25,000 learners and has disbursed loans worth Rs 300 crore.
Mumbai-based Eduvanz was launched by Varun Chopra, Raheel Shah and Atul Sashittal in September 2016, with the mission to financially empower students to choose their dream careers at institutes and colleges of their choice by having access to loans.
The startup has tie-ups with more than 80 institutes and works with training partners, corporates and certification providers spanning more than 16 industry sectors to increase their enrolments by providing innovative financial solutions to students and skill-seekers.
The company competes with the likes of Mpower Financing, Credenc, and Propelld. Mpower Financing, which gives education loans to international students, has emerged as the largest player in this space.
Last year in August, Sequoia had invested close to $5 million in Eduvanz during its previous rounds of fundraising.
In February this year, Eduvanz had also raised $10 million in debt funding from InCred Financial Services, Vivriti Capital, and Northern Arc Capital.