Mumbai-based Ecofy, a green NBFC backed by Eversource Capital, has raised ₹380.5 crore in fresh equity capital to accelerate the growth of India’s retail green finance market.
The funding round saw participation from two global development finance institutions — British International Investment (BII), the UK’s development finance institution and impact investor, and Finnfund Digital Access Impact Fund I (DAIF) managed by Finnfund, the Finnish development finance institution and impact investor — who joined as new investors.
The investment reflects growing global investor confidence in Ecofy’s differentiated, retail-led model. The round also saw continued commitment from existing investors Eversource Capital, a leading sustainable infrastructure investor, and FMO.
The growth capital will support Ecofy’s expansion across rooftop solar, electric vehicles and SME financing, backed by a strengthened balance sheet, experienced leadership, robust governance frameworks and a high-performance operating culture.
Founded with a focus on green finance, Ecofy has built a retail-focused green finance platform within three years of operations. The company currently serves over 1.20 lakh customers across rooftop solar, electric vehicles and other sustainable asset categories.
Ecofy’s assets under management have grown to over ₹1,400 crore, supported by a 100% retail loan book, partnerships with more than 100 OEMs and 23 banks and financial institutions. Following the fundraise, the company’s capital adequacy ratio stands at around 50%.
Ecofy Co-founder Managing Director & CEO Rajashree Nambiar said, “This capital allows us to deepen our offerings, expand distribution, and continue building a high-quality green lending franchise, while delivering attractive, risk-adjusted returns.”
Everstone Capital CEO & Eversource Group Vice Chairman Dhanpal Jhaveri said: “This capital raise positions Ecofy to scale profitably, while setting new benchmarks for retail green finance in India.”
BII Managing Director and Head of India Shilpa Kumar said: “Our investment supports India’s clean energy transition and reinforces BII’s commitment to backing innovative platforms that drive sustainable growth and carbon reduction.”
FMO Senior Investment Officer Aditya Mohan said: “Accelerating the transition to sustainable energy systems largely depends on the availability of long-term, responsible capital at the retail level. Ecofy has consistently demonstrated strong fundamentals in building a specialised green finance platform with disciplined growth and sound governance.”
Finnfund Investment Manager Niklas Simola said: “This investment supports Finnfund Digital Access Impact Fund I’s goals by delivering commercial returns alongside climate impact and promoting gender inclusion through equitable digital financial services.”
Finnfund Investment Manager Tuomas Vaulanen said: “Our investment in Ecofy reflects our view that India’s green finance sector is entering a disciplined, early growth phase where strong risk management will distinguish long-term winners.”
Backed by strong institutional investors and a well-capitalised balance sheet, Ecofy plans to enter its next phase of growth by scaling high-quality retail green lending in partnership with banks and financial institutions.