Metafin, a non-banking financial company (NBFC) focused on solar energy loans, has raised USD 10 million (~INR 85 crore) in a Series A round to expand its presence across rural and semi-urban India. The round is a mix of equity and debt and was led by Vertex Ventures Southeast Asia and India with participation from existing investors Prime Venture Partners, Varanium Capital and financial institutions Northern Arc and AU Small Finance Bank.
Founded in 2019 by Sandeep Chopra and Aditya Shah, Metafin provides solar financing solutions for micro, small and medium enterprises (MSMEs) and rural households. Through its growing network of installation and lending partners, the company uses its proprietary technology backed underwriting system that uses real-time energy data to monitor installations and assess credit risk to offer scalable and reliable financing options.
“Today we have financed over 3,200 solar installations in 2,700 villages,” said co-founder Sandeep Chopra. “We plan to scale up to 10,000 installations across 8,000 villages in the next 12-18 months. This is a big step towards our mission of enabling energy access in rural India.”
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Expanding to New Territories and Scaling Technology
Currently Metafin gets 80-85% of its revenue from Uttar Pradesh and 10-12% from Bihar. With this fresh capital, the company plans to enter Jharkhand, Chhattisgarh, Odisha and Madhya Pradesh – states where solar adoption is relatively low but has huge potential.
A significant portion of the newly raised funds will be used to deepen Metafin’s technology stack. Currently its proprietary IoT platform monitors over 1,100 installations every 2 seconds, generating real-time data on system performance and payment compliance. This allows Metafin to remotely manage systems, including switching off plants in case of loan defaults, to ensure better asset quality without physical inspections.
The company also plans to strengthen its senior leadership team and operational infrastructure to support its growth plans.
“Metafin’s technology driven approach along with its grassroots reach and deep understanding of rural credit underwriting makes it a category defining player in solar asset financing,” said Nikhil Marwaha, Senior Executive Director at Vertex Ventures Southeast Asia and India.
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Financials and Future Plans
Metafin has a great financial track record. As of March 2025, it has an annual revenue run rate of INR 22 crore and AUM of INR 81 crore. The company plans to triple revenue in next 1 year.
The Series A funding follows a USD 5 million (~INR 43 crore) equity round in Feb 2024 from Prime Venture Partners and Varanium Capital, which shows investor confidence is sustained even with increasing policy support for renewable energy. The sector got a big boost recently with 80% increase in budget for rooftop solar schemes under Pradhan Mantri Surya Ghar Muft Bijli Yojana.
Going forward Metafin is talking to more banks and financial institutions to diversify and expand its credit offerings, specifically for rural and semi-urban markets.
“This is a big milestone for us in our journey to bring clean energy to all of Bharat,” the founders said in a joint statement. “We have shown that solar lending in rural India is not only impactful but also scalable and profitable. Our vision is to empower 1 million rural solar users by 2030.”