Microfinance holding company Gojo & Company invested ¥1.1bn ($10.1m) in India-based credit review technology developer Loan Frame Technologies in late November, it has announced.
Founded in 2016, Loan Frame utilises automated data analysis to help micro, small and medium-sized enterprises (MSMEs) raise microfinancing.
The company performs credit screening for MSMEs using an independently developed algorithm, before transmitting the credit information to the loan suppliers to facilitate subsequent transactions.
Loan Frame has been responsible for the brokering of almost 20,000 loans worth about $100m across some 30 Indian cities.
The funding will be used to further grow Loan Frame’s customer base and bolster its proprietary information processing technology. Gojo will look to form synergies between Loan Frame and its own subsidiaries.