Bengaluru (21 October 2026): Premji Invest, Norwest, and Lok Capital today announced their investment in Vegafin (a Micro, Small, and Medium Enterprises (MSME)-lending platform), founded and promoted by ICICI Bank veteran, Bijith Bhaskar. The financial investors have committed up to INR 1,000 crore to build this AI-first MSME lending platform, starting with the acquisition of a majority stake in Bizloan, a Gurugram-based secured MSME-lending focused non-banking finance company (NBFC).
Vegafin plans to build a technology-led MSME lending platform differentiated by AI-driven underwriting, digital workflows and data-led credit decisioning, complemented by deep on-ground distribution presence. The platform is designed to enable faster turnaround, sharper risk selection and lower operating costs while scaling access to underserved MSMEs. To kickstart the platform, Vegafin, led by Bijith Bhaskar and the financial investors, have also entered into definitive agreements for the majority stake in Bizloan.
Bizloan has a presence across 5 states through 35+ branches and manages an AUM of ~INR 235 cr+. Founded by veteran bankers Rahul Jain, Abhishek Mishra and Vikram Diwan, Bizloan started operations in 2018.
Bizloan is currently backed by the Michael & Susan Dell Foundation, BLinC Invest and Mohan Enterprises. BLinC Invest will remain an investor in Bizloan while Mohan Enterprises and the Michael & Susan Dell Foundation will exit their investments in the company.
EY Investment Banking acted as the exclusive financial advisor on this transaction.
The investment in Bizloan is subject to regulatory approvals and customary closing conditions.
The MSME Lending Opportunity
Bijith Bhaskar, Founder, CEO and MD of Vegafin shared, “the MSME sector is a cornerstone of the Indian economy, yet it faces a staggering credit gap, pegged at >INR 30 trillion. There is a clear need for a pan-India player with a strong MSME focus, efficient cost of service and ability to price risk accurately. Our platform aims to fill this need by leveraging technology to provide accessible and affordable secured credit for various requirements across the lifecycle of MSMEs”
Elaborating further on the platform strategy, Mr. Bhaskar said, “We intend to build a hybrid "phygital" lending platform to democratize access to MSME credit. Our ambition is to leverage AI and harness data from multiple sources to develop deeper insights into MSME businesses, enabling faster, granular and accurate assessment of credit risk. Over time, we believe this AI and data-led approach, handpicked leadership team and robust capital base will allow us to build a quality lending platform to create meaningful impact in the MSME lending ecosystem.”
Prior to founding Vegafin, Mr. Bhaskar spent more than two decades at ICICI Bank, where he held several leadership roles across retail banking, digital banking, credit cards, consumer finance and merchant eco-systems.
Rahul Jain, founder of Bizloan said, “This investment marks a significant milestone for Bizloan and positions us well for our next phase of growth. We will scale our on-ground presence alongside stronger digital capabilities, while continuing to focus on operational excellence and delivering a superior customer experience.”
Quotes from investors:
Premji Invest
Saravanan Nattanmai, Partner, Financial Services, at Premji Invest said, “We see a meaningful opportunity to use technology to reduce friction and improve access to credit for MSMEs in India. By co-creating and empowering platforms such as this, we are driving real business growth for the small businesses that underpin the economy."
Kaustubh Jhaveri, Vice President, Financial Services, at Premji Invest said, "Most lending platforms spend years assembling capital, talent and distribution. Vegafin starts its journey with all three and an AI-first operating model to drive superior economics."
Norwest Venture Partners
Niren Shah, MD and Head of India and Nikhil Kookada, Principal at Norwest said, "We believe the next generation of MSME lenders will be built around technology, AI and data-led underwriting with digitally integrated distribution. Bijith and his team bring a uniquecombination of large-scale banking, technology and execution experience. Bizloan provides a strong foundation for this journey, and we are delighted to partner with Bijith and the team as they build the platform into a differentiated MSME lender."
Lok Capital
Rajat Bansal, Partner at Lok Capital said, “India's MSME lending opportunity remains extremely attractive. Small businesses and lower-income households in semi-rural and rural India are still significantly underserved by formal credit. With our investment in Bizloan, we are excited to partner with Bijith and the Vegafin team to build a technology-led financial services platform that innovates for these customers, with a focus on expanding access, understanding risk and building an efficient delivery model.”
About Premji Invest
Premji Invest (PI) is a leading global investment firm with a charter to back emerging and disruptive technologies, address sizable market opportunities and nurture the spirit of entrepreneurship. Its evergreen structure allows PI to make investments in India and the US with a long-term horizon. PI invests in both private and public markets. Its private investments include early stage, growth equity and buyouts and focus areas span financial services, technology, consumer, industrials, and healthcare. Public markets investments span listed companies with promising long-term prospects, sustainable returns and high standards of corporate governance across sectors. Investments are made using a structured quantamental (fundamental + quantitative) approach. The returns generated by PI primarily support the work of Azim Premji Foundation, a non-profit that works to improve the lives of the underserved and underprivileged in society.
About Norwest
Norwest is a global venture and growth equity investment firm managing more than $15.5 billion in capital. Since its inception, Norwest has invested in more than 700 companies and currently partners with more than 250 companies in its venture and growth equity portfolio. The firm invests in early- to late-stage businesses across key sectors with a focus on enterprise, healthcare, and consumer. The Norwest team offers a deep network of connections, extensive operating experience, and a wide range of impactful services to helpCEOs and founders scale their businesses. Norwest has offices in Menlo Park and San Francisco, Calif.; Mumbai, India; and Tel Aviv, Israel.
In India, Norwest has a successful history in partnering with innovative companies across Financials, Industrials, Technology, Internet, Healthcare & Pharma and Consumer sectors. Some of the firm’s most notable investments in India include Swiggy, OfBusiness, NSE, Amagi, Infinx, Padmini VNA, Vastu Housing Finance, Subway, Veritas Finance, Fibe and Five Star Finance. For more information, please visit www.norwest.com
About Lok Capital
Lok Capital is a pioneering India-focused impact investing firm established in 2004. It has generated above market returns via investments into enterprises addressing social and environmental challenges at scale. Over the past two decades, Lok Capital has evolved alongside India’s development journey, backing entrepreneurs who are addressing some of the country’s most pressing challenges while building enduring businesses. Lok focuses on growth stage companies that are expanding access, improving resilience, and enabling sustainable economic development and has made 50+ investments since inception. Lok’s investment approach is grounded in deep sector expertise, active portfolio engagement, and strong governance. Lok Capital has completed deployment from its fourth fund and is in the process of raising its fifth fund.
Media Contacts:
Jasudha Kirpalani
Head of Communication, Premji Invest
Jasudha.kirpalani@premjiinvest.com