Bengaluru-based agritech startup Ergos has raised USD 10 million from Norway-based financial inclusion fund, Abler Nordic through a mix of equity and debt in series B round. The process was also joined by other firms such as Aavishkaar Capital, Chiratae Ventures and Trifecta Venture Debt Fund.
The agritech startup helps farmers transform their grains into digital assets. It also enables them to earn much by selling grains post-harvest times. By linking farmers to markets and grain storage warehouses, it enables access to affordable finance through partners.
The process works by giving farmers access to storage services for around eight to nine months post-harvest, leading to which they will have the credit access till 70 per cent of their stored and digitised grain. It will be further supported by affordable interest rates from banking partners.
Commenting on the fundraise, Founder and CEO at Ergos, Kishor Jha highlighted that the need of incentivising agriculture and catering to the needs of farmers. The Grainbank platform at Ergos will allow the farmers to take optimal decisions on production storage, accessing credits from banks giving access to wide spectrum of buyers, he added.
Managing Director at Abler Nordic, Arthur Sletteberg, said, the investment in Ergos defines our wide range of innovative solutions that helps to build climate and financial resilience.
The startup claims to have a network of 1,60,000 farmers associated in its platform. It also has a physical network of farmgate-based warehouses, stated ‘Grainbank’, in over 200 locations across Bihar, Karnataka and Maharashtra, it said in a statement.
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