13-05-2025
M1xchange Secures INR 84 Cr From Filter Capital to Scale MSME Supply Chain Financing
The capital infusion will be used to scale the platform's technology and expand access to invoice financing for underserved businesses.
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M1xchange has raised INR 84 crore (approximately USD 10 million) through a secondary transaction from Filter Capital to accelerate its digital supply chain finance operations, with a sharp focus on serving India's micro, small, and medium enterprises (MSMEs).
The capital infusion will be used to scale the platform's technology and expand access to invoice financing for underserved businesses.
This transaction follows a strategic investment two months ago by Jindal Stainless and its subsidiary Jindal Stainless Steelway Limited, which collectively acquired a 9.62% stake in the company. With this latest deal, M1xchange has raised over USD 47 million to date from marquee investors including SIDBI Venture, Amazon, IndiaMART, BEENEXT, and Mayfield.
"This marks an important milestone in M1xchange's journey of innovation, technology-led growth, and financial inclusion," said Sundeep Mohindru, Founder and CEO of M1xchange. "Filter Capital shares our long-term vision and customer-first approach, and their investment reinforces our mission to build a digitally empowered, transparent supply chain finance ecosystem."
Founded by Sundeep Mohindru and Vivek Misra, M1xchange launched in April 2017 as one of India's first RBI-licensed TReDS (Trade Receivables Discounting System) platforms. It enables MSMEs to get access to working capital through invoice discounting from banks and NBFCs — without the need for collateral or recourse.
The platform sees monthly invoice financing volumes of around INR 10,000 crore (approx. USD 1.2 billion), and to date, has facilitated over INR 1.75 lakh crore (USD 20 billion) worth of invoice discounting.
With a network that includes 50,000+ MSMEs, 2,800+ corporates, and 65+ financiers, M1xchange has built a robust three-sided exchange. It offers MSMEs faster access to funds — within 24 hours of invoice approval — and has recorded 100% year-on-year growth.
"M1xchange has consistently demonstrated innovation and financial discipline while scaling," said Zareer Shroff, Principal at Filter Capital. "We're proud to back a team that is transforming supply chain finance in India."
Highlighting the credit gap in the sector, Nitin Nayar, Co-founder of Filter Capital, added, "India has over 60 million MSMEs, yet they face limited access to formal credit. M1xchange is uniquely positioned to bridge this gap with technology-first solutions."
Filter Capital is a growth-stage investment firm focused on tech-led enterprises. Its portfolio includes Capillary Technologies, Chalo Mobility, LoadShare Networks, and THB.
