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Financial Information Network and Operations FINO

FINO’s technology allows it to facilitate the enrolment of clients, disbursement of loans and government benefits, collection of deposits and the tracking of credit risk exposure within the Indian financial inclusion market. The company’s system combines the use of customised smart cards enabling customer acquisition and management with a rigorous Core Banking System on the back-end. The company’s main clients are banks, MFIs, government departments and insurance companies. FINO is currently enrolling 20,000 customers a day. Company Achievements since Legatum Ventures’ Investment Total enrolments increased from 175,000 in FY2007 to 8 million as of December 2009, a CAGR of 280%; The company is on track to achieve a customer base of 25 million by 2011, across a network of over 10,000 transaction points; Aggressively pursuing the insurance and government disbursal markets; Ongoing development of the Core Banking System to ensure cost effective solutions for the microfinance sector; Achieving economies of scale, reducing the overall cost profile of the business. Social Impact FINO offers the potential to bring many millions of unbanked individuals into the formal financial sector; The Core Banking System could provide a database of client information, potentially resulting in India’s first microfinance credit bureau.

Overview Financial Information Network and Operations (“FINO”) provides technology and operational solutions to financial institutions, revolutionising the way their services reach bottom-of-the-pyramid citizens by minimising the cost base of executing multiple, small ticket financial transactions. FINO has combined the delivery of a biometric-enabled smart card front-end with a proprietary Core Banking System back-end, tailored specifically for the microfinance market. www.fino.co.in Total Capital Invested USD 4.12 million Investment Thesis Significant underpenetration of financial services in India; Supportive government policies; An incubation (and spin-out) of the financial inclusion team at ICICI Bank; The only end-to-end solution in a growing market, with significant first mover advantage; Strong, experienced management team Stake Minority Date of Investment May 2007 Date of Exit December 2009 (via secondary sale) Security Type Series A Common Equity Series A Convertible Preference Shares Other Series A Investors ICICI Bank ICICI Lombard Union Bank of India Corporation Bank Indian Bank IFC IFMR Trust Intel Capital Legatum Board Seat Yes- Proxy Previous Investors ICICI Bank