Dairy Fintech Startup DGV Secures $6 Mn Funding In A Round Led By Omidyar Network India Existing investors Omnivore and InfoEdge Ventures also doubled down in the round
You're reading Entrepreneur India, an international franchise of Entrepreneur Media.
Dairy fintech startup Digivriddhi Technologies (DGV) has raised INR 50 crores ($6 Million) in a Series A funding round led by Omidyar Network India. Existing investors Omnivore and InfoEdge Ventures also doubled down in the round.
DGV was founded in 2019 by Ragavan Venkatesan to provide dairy farmers and microenterprises access to institutional credit while easing and digitizing payments across the dairy value chain. In Gujarat, the startup claims, it works with 75% of all dairy processors including Amul, to create the last mile financial access infrastructure for 3.6 million dairy farmers. DGV is now expanding its footprint into Karnataka, Andhra Pradesh, Telangana, Madhya Pradesh & Maharashtra, providing an entire gamut of Banking, Financial Services and Insurance products.
DGV has also partnered with five leading banks, top dairy processors and government entities to leverage its integrated dairy fintech and marketplace platform. DGV's innovations include building digital public infrastructure for digital bovine loans in partnership with RBIH (Reserve Bank of India Innovation Hub) to provide a frictionless and paperless loan journey for the dairy farmers of rural India, the company said in a statement.
Ragavan Venkatesan, founder and CEO, DGV, said, "The dairy sector provides a key avenue to multiply the disposable income of Indian farmers. With DGV PAY, we simplified the payment value chain for dairy farmers and micro-enterprises, helping with their basic banking needs. Integrating ERP systems across the dairy value chain, we've built a unique underwriting mechanism that facilitates digital working capital and bovine loans through DGV MONEY. The livestock management industry presents a $70-80 billion opportunity with significant gaps in bovine discovery, pricing and productivity. DGV CONNECT addresses these gaps with embedded financing options and is progressively becoming a one-stop-platform meeting all the needs of the Indian dairy farmer."
Treasa Mathew, firector, Omidyar Network India, said "India's 80 million dairy farmers represent a large segment of the #NextHalfBillion that is underserved by financial institutions due to the lack of reliable data to estimate their incomes. DGV's integrated fintech and marketplace model, which is embedded within the dairy supply chain, promises to unlock access to convenient, affordable financial products and improve livelihoods for India's dairy farmers. We are very excited to back a team that is deeply committed to improving financial well-being and sustainability for India's dairy farmers and micro-enterprises."
This marks the second institutional fundraise for the startup. It raised a seed round of $3.1 million in November 2021 led by Omnivore and InfoEdge Ventures along with some prominent angel investors.