Varthana raises €3 million from Triodos Investment Management

Varthana, a non-banking finance company (NBFC) in the education sector, has secured €3 million (about Rs 27 crore) in funding from Triodos Investment Management through non-convertible debentures (NCD).

Established in 2013 by Steve Hardgrave and Brajesh Mishra, Varthana aims to make education accessible to over 10 million students by 2025.

The startup claims to have financed over 11,000 affordable private schools and facilitated over 16,500 loans for school expansion and renovation. It has presence in 16 states and union territories through 40 branches and 150 spokes.

What is the purpose of the funding?

The funding, provided through Triodos Fair Share Fund, will enable Varthana to expand its reach and support more schools and students in upgrading their infrastructure, facilities, and educational foundation.

The funding will also enhance the company’s efforts to empower educational institutions across the country.

“We are thrilled to have Triodos Investment Management on board as a partner in our journey to transform education financing in India. This investment reaffirms our commitment to making quality education accessible to all and will fuel our efforts to empower more educational institutions across the country," said Steve Hardgrave, Co-Founder and CEO of Varthana.

Investor comments

Dorian Marquer, Head of Corporate Debt Asia/ECCA at Triodos Investment Management, commented, “We are very pleased to add Varthana to our financial inclusion portfolio. This investment shows that financial inclusion also plays a role in addressing other pressing issues, such as access to affordable quality education, which is seen as a key pillar to alleviate poverty. Education is an empowering force in the world and Varthana plays a very important role to equip children across India with the qualities and skills to shape and build their future.”

Broadening reach

The €3 million funding will allow Varthana to broaden its reach, helping more schools and students improve their infrastructure and educational base. By enhancing facilities and supporting educational foundations, Varthana aims to create a more robust education system in India.