Offering Dealer Financing Solutions through a Partnership with UGRO Capital Limited: Greaves Retail

Encourages sustainable business practices and aims to meet the country’s 9000 dealers and 180 distributors’ needs for operating finance. India’s Bengaluru, Karnataka Greaves Retail, the retail division of Greaves Cotton Limited, a supplier of clean mobility and energy solutions in the e3W, ICE 3W, and SCV segments, and UGRO Capital Limited, a top DataTech NBFC specializing in MSME lending.

The cooperation to provide financing to dealers was revealed today. As part of this partnership, UGRO Capital will provide all dealers of Greaves Retail with a variety of comprehensive inventory lending alternatives to meet their working capital needs. This partnership intends to increase the dealers’ purchasing power and streamline commercial dealings.

There has been a tremendous demand for sustainability in all business solutions, and this partnership is a step forward for UGRO Capital in its quest to promote green financing and sustainable entrepreneurship in India. Greaves Spares, a division of Greaves Retail, provides a wide array of automotive spare parts spanning 2W and 3W, small commercial vehicles (across multi-brand). Greaves Spares provides over 6000 high-quality spare parts via its distribution network, ensuring ‘high uptime’ for commercial vehicle owners.

Speaking about the partnership, Mr Narasimha Jayakumar, CEO Greaves Retail, said, “At Greaves Retail, we’ve consistently appreciated our dealers and their invaluable contributions to our journey of success. We are thrilled to partner with UGRO Capital, which promises vital financial assistance to our distributors and dealers, who in turn serve the mechanics and independent garage owners – the ultimate customers of Greaves Spares. With a common commitment to ‘Empowering Lives,’ aligning with a company leading the charge in ‘Empowering MSMEs’ feels like the perfect fit. This collaboration will greatly reinforce our relationship with the distributor and dealer community.” 

Mr Prasanna Madhyasta, Head – Supply Chain Finance, UGRO Capital, expressed his enthusiasm about the partnership, saying, “At UGRO Capital, we have a specific focus on different sectors, one of them being the auto components. Our team at UGRO Capital is excited about this alliance with Greaves Cotton Ltd. By offering working capital loans to the dealers of Greaves Spares, we aim to impact their operations and overall growth positively. Our focus on empowering businesses aligns perfectly with Greaves Retail’s commitment to its dealer network. By leveraging each other’s strengths, both companies are confident that this collaboration will drive positive outcomes and contribute to the industry’s growth.”

The collaboration aims to increase supply chain efficiencies and availability of spare parts through easier availability of working capital loans to distributors and dealers with the help of UGRO Capital. The partnership between Greaves Cotton Ltd. and UGRO Capital will open new avenues for dealers and enhance their ability to serve customers efficiently.

About Greaves Cotton Limited 

Greaves Cotton Limited (GCL) is a multi-product, multi-location engineering company with a long history and strong brand recognition dating back more than 163 years. Fuel Agnostic Powertrain Solutions, E-Mobility, Aftermarket, and Retail are among the company’s top specialities. Customer centricity and sustainability are the driving forces behind the company’s diversification plan.

As a part of this diversification strategy, the Company has recently announced the acquisition of Excel Controlinkage Pvt. Ltd. to unlock new avenues of growth and continue to build expertise in future technologies. It is powered by the purpose of touching a billion lives by 2030 and enabling them to make a sustainable transition to green mobility.

About UGRO Capital Ltd 

Data Tech Lending platform UGRO Capital Limited is listed on the NSE and BSE. Using its strong distribution network and data-tech approach, it is pursuing its aim of “Solving the Unsolved” for the small company credit gap in India.

The Company’s prowess in Data Analytics and strong Technology architecture allows for customized sourcing platforms for each sourcing channel. GRO Plus module which has uberized intermediated sourcing, GRO Chain, a supply chain financing platform with automated end-to-end approval and flow of invoices, GRO Xstream platform for co-lending, an upstream and downstream integration with fintechs and liability providers and GRO X application to deliver embedded financing option to MSMEs.

UGRO has pioneered the “Lending as a Service” (LaaS) model in India and has effectively operationalized Colending relationships with 10+ Large Public Sector Banks and large NBFCs and built a sizeable LaaS book of more than 10% of its AUM through the GRO Xstream platform.

Currently, UGRO shares are trading 0.6% up at Rs. 298.55