Varthana Secures ₹120 Crore Funding to Empower Education in Tier II & III Cities

Education-focused non-banking financial company (NBFC) Varthana has raised ₹120 crore ($15 million) in debt funding from BlueOrchard Microfinance Fund under an external commercial borrowing framework. This funding marks a significant boost for Varthana’s mission to transform education in underserved regions.

Supporting Schools and Students in Tier II & III Cities

The fresh capital will be utilized to provide private schools and vocational students in Tier II and Tier III cities with financial support for infrastructure upgrades and skill-based learning initiatives. These efforts aim to enhance the quality of education and equip students with skills for better career opportunities.

Tailored Financial Solutions for Education

Founded in 2013 by Brajesh Mishra and Steve Hardgrave, Varthana specializes in low-cost, collateral-free loans with customized EMI options. It offers student loans of up to ₹5 lakh for degree and postgraduate courses, pre-university programs, certification courses, and skill enhancement training.

With operations spanning 16 states and union territories and a network of 40 branches, Varthana has financed over 11,000 private schools and issued more than 16,500 student loans to date.

A Mission-Driven Approach

Expressing gratitude for the funding, co-founder Steve Hardgrave stated, “We are thrilled to receive this second round of funding from BlueOrchard Microfinance Fund, which strengthens our commitment to transforming education in underserved communities.”

Varthana’s initiatives are instrumental in bridging the education gap in India’s smaller cities by empowering private schools with modern infrastructure and equipping students with the skills needed for today’s job market.

This funding round underscores the growing investor interest in India's education sector, particularly in regions where access to quality education is still limited.