Varthana, a Bengaluru-based school finance company, has received about ₹20 crore ($3 million) in funding from the Michael & Susan Dell Foundation, to expand its school transformation programme.
The initiative is meant to improve the quality of learning in affordable private schools. The total investment in the programme is about ₹65 crore ($10 million), of which the Michael & Susan Dell Foundation has contributed about ₹20 crore through a pay-for-performance debt facility. This facility allows Varthana and schools participating in this programme to be rewarded up to 10 per cent of the loan amount for improving learning outcomes by 5-10 per cent.
Through the programme, Varthana provides debt, high quality assessments, hands-on support, vendor connections and financial rewards, all meant to drive learning improvements in 337 schools in five States.